That just isn't true. The FT defunds the IRS, destroys its records and makes a point of calling for the repeal of the 16th amendment. No FTer is in favor of passing the legislation without subsequently removing the 16th.
The FT re-taxes previously taxed savings - especially retirement savings.
A bona fide objection which can be addressed in write up. There is also a big boon to other savers who have money tied up in qualified accounts such as IRA's.
Because of the above the FT is especially burdensome on those near or in retirement.
Only those with after tax savings. In my experience managing retirement savings most of it is in pre tax dollars with a large contingent income tax liablity awaiting.
The FT has a socialist wealth-redistribution component - the prebate.
A bad thing, granted. But it removes the EITC and it pacifies the liberals and class warriors.
At 30% the FT rate is too high, especially when it only covers the federal portion of taxation. Add in the state and local taxes and the rate approaches 50%!
What states are charging 20% tax rates? Their citizens should pay more attention to local lawmakers. 30% is high but when you consider that prices should fall by about 10% or more and that paychecks should go up by 20% or so it is a wash.
The FT fails to address the real problem (spending) and, as such, is tantamount to rearranging the deck chairs on the Titanic.
The FT makes no pretense about reducing the cost of gov't other than to make it more visible to the average taxpayer and make him angry every time he buys something.
Free Republic is just too slow today. I may take a pass until tomorrow.
Filo said
“I’ve already listed the flaws too many times to count. The only replies have been garbled nonsense.
In summary:
1. The FT is not tied to the repeal of the 16th which keeps the door open for sales and income tax in a few short years.
2. The FT re-taxes previously taxed savings - especially retirement savings.
3. Because of the above the FT is especially burdensome on those near or in retirement.
4. The FT has a socialist wealth-redistribution component - the prebate.
5. At 30% the FT rate is too high, especially when it only covers the federal portion of taxation. Add in the state and local taxes and the rate approaches 50%!
6. The FT fails to address the real problem (spending) and, as such, is tantamount to rearranging the deck chairs on the Titanic.”
1. The FT is not tied to the repeal of the 16th which keeps the door open for sales and income tax in a few short years.
wrong - It is now.
2. The FT re-taxes previously taxed savings - especially retirement savings.
So does the current system, because of embedded taxes.
3. Because of the above the FT is especially burdensome on those near or in retirement.
So is the current system, because of embedded taxes.
4. The FT has a socialist wealth-redistribution component - the prebate.
So does the current system, because of Earned income credits, and other tax credits.
Part of the appeal of the Fair Tax is the simplicity. The rebate, same as the standard deduction in the current system, says “OK, everybody gets a break, up to this amount.”
5. At 30% the FT rate is too high, especially when it only covers the federal portion of taxation. Add in the state and local taxes and the rate approaches 50%!
23% inclusive, 30% exclusive, is six of one, half dozen of the other. Most everybody on this website has enough BASIC math and BASIC common sense to understand that it is just different ways of labeling the same numbers. I guess there are still some intellectually challenged who see that as an issue.
Do you think the IRS cares now how much you pay in the state and local taxes?
6. The FT fails to address the real problem (spending) and, as such, is tantamount to rearranging the deck chairs on the Titanic.
Totally different issues.
Why don’t you start on a thread about “How the Government spends money” instead of “How the Government collects money”
3.5 The FT effectively removes the wage cap from Social Security taxes while adding nothing to the benefits of those paying the additional taxes.
3.6 The FT will drive the wealthy out of the country, where they can go to spend their money without the high taxes.
3.7 Funding SS/M from ALL spending while the benefits of SS/M are based on only a PORTION of wages is wrong.
4.5 The FT creates huge blocks of irresponsible voters by untaxing them completely via the Prebate and other exclusions.