How is the tax collected? Retail businesses collect the tax from the consumer, just as state sales tax systems already do in 45 states; the FairTax is simply an additional line on the current sales tax reporting form. Retailers simply collect the tax and send it to the state taxing authority. All businesses serving as collection agents receive a fee for collection, and the states also receive a collection fee. The tax revenues from the states are then sent to the U.S. Treasury.
http://www.fairtax.org/site/PageServer?pagename=about_faq
Question # 10
But you still haven’t explained how this is done in those five states that don’t have a sales tax.
And you didn’t address at all my question about enforcement.
And I’ve got another question:
I’m starting a new retail business. How do I start paying the NRST? Do I have to notify somebody that I’m now in business? If so who?