[3niner]

It's amazing how people get hung up on the rate for a fair tax. It should be obvious that honest people will mostly end up paying less, with a consumption tax, than with an income tax. This can be reasoned out as follows:

Most criminals are tax evaders. They do this by not reporting income. A consumption tax is applied to everything you buy, and requires one to make every purchase from alternate (illegal) sources in order to evade it. This is much harder to do.

[Phantom Lord]

Most criminals are tax evaders. They do this by not reporting income. A consumption tax is applied to everything you buy, and requires one to make every purchase from alternate (illegal) sources in order to evade it. This is much harder to do

I have actually seen a FairTax oppenent claim that the FairTax will not get the blackmarket drug dealers and the such to pay taxes because they are not going to charge the tax on the crack, cocaine, heroine, etc... that they sell!

[steve8714]

If you think it’s difficult to make purchases from illegal (let’s say secondary) sources, you’ve never been to a swap meet or urban flea market. It’s not so easy to earn illegal money either.