To: Your Nightmare
Semantics. The question is at what point the tax is collected. Under the flat tax it would be collected at the point it is earned. Under the FairTax it would be collected at the point it is spent. You can call them both a consumption tax if you want to but that doesn't change the difference.
You are painting with an economist's broad brush. Both are called consumption taxes because what is left over is savings.
73 posted on
02/27/2008 12:28:26 PM PST by
groanup
(What do income tax preservationists and economic literacy have in common? Nothing)
To: groanup
Under the flat tax it would be collected at the point it is earned. Involuntary income tax. Status quo.
Under the FairTax it would be collected at the point it is spent.
Voluntary consumption tax. Major tax overhaul. Reduction or elimination of the largest agency in the US government.
81 posted on
02/29/2008 5:08:07 AM PST by
cowboyway
("No damn man kills me and lives." -- Nathan Bedford Forrest)
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