[baybabe]

Ah, but you’ve missed the point completely. That $100 of goods (under the income tax system) will now be $90 ... and you don’t pay an added tax of $30. Your effective tax rate would be something like 11% so you’d pay a total of $100 (tax inclusive) - and you only pay that if the item is taxable.

[Toddsterpatriot]

That $100 of goods (under the income tax system) will now be $90 ... and you don’t pay an added tax of $30.

In that case, 30% would be $27.

[lewislynn]

Ah, but you’ve missed the point completely. That $100 of goods (under the income tax system) will now be $90 ... and you don’t pay an added tax of $30. Your effective tax rate would be something like 11% so you’d pay a total of $100 (tax inclusive) - and you only pay that if the item is taxable.

Care to show how your little dream adds up to be revenue neutral?

According to the Fairtax rhetoric I would have to earn $130 to purchase the $100 item, and, according to the Fairtax rhetoric 23% of that $100 item is embedded taxes.

That means that so far the total amount of tax collected under the income tax is $53.00

Your dream scenario only collected $10...where's the other $43 to be revenue neutral?