I can’t figure out why so many people are so absolutely terrified by this idea. It’s really pretty simple.
• Either you pay 23% out of your paycheck before you ever see it.
-or-
• You selectively pay 23% through your own choosing (opting not to in buying used, saving, investing, etc.)
And the prebate isn’t anymore “welfare” than your annual tax return check or these moronic “stimulus package” rebates we’re about to collect.
Most are against it because they fear change, They fear that they might have to actually pay a constitutionally LEGAL tax.
You are absolutely correct. There is no sense in advocating continuing imposition of the income tax when there is such a sensible and simple alternative.
Remember, as moronic and sardonic as most of these anti's sound, they really are only trying to protect their jobs. Yes I know they prosper off of the suffering of others.
Other than the standard bloodsuckers such as IRS employees there are many who believe their livelihoods are beholden to products that are treated favorably under the income tax.
If you work at a company you probably have a 401(k) plan. Such a plan would have no need to exist if it weren't for the INCOME tax laws. Someone made a big comission when he sold the plan to your HR Dept. He also makes monthly comissions off of your contributions. (And you thought they were all going toward growth.)
Also, someone gets paid by members of the plan (you) to do all the work of satisfying IRS requirements of the plan.
Don't forget that life insurance guy that sold you a policy a while back. He probably emphasized the INCOME tax deferral feature of the policy.
Same with the guy who sold you your IRA.
Same with the guy who sold your grandmother that INCOME tax deferred annuity.
Same with the guy who sold your uncle that real estate tax sheltered partnership.
Now I don't begrudge these people their livings. I do begrudge the ones that are on here spreading lies while calling others scammers.
So simple that a Caveman can do it; so simple that a third of freepers still can’t understand it.
Imagine that, freepers defending the status quo!
“moronic” I beg to differ......I will need mine to send right back to the IRS to pay my tax bill.
“moronic” I beg to differ......I will need mine to send right back to the IRS to pay my tax bill.
That is the real problem. Consumption is not constant across incomes. Once basic needs have been met, consumption is very easy to control. Most people making a million dollars per year don't spend it all. Most people in the higher income brackets don't spend more than a small percentage of their income. Their income is invested and re-invested.
The cost of government would be borne by the middle and upper middle classes. Poorer people would pay little due to the prebate and very high income earners would pay relatively little because they spent far less than they earned.