Replies

>>>How will that happen? Why would the ‘Republican’ proposal result in higher taxes on the middle class? Which ‘Republican’ proposal?

Currently 47% of households pay no income tax. If you go to a consumption tax, all of those households will be paying taxes. Thus, they will be paying more in taxes. While a plan may allow for a refund of a certain dollar amount to low income, I'm guessing it would not wipe it out completely for all households. If it does wipe it out for those 47% of households, then how does that resolve the issue of "everyone paying their fair share"?

While a plan may allow for a refund of a certain dollar amount to low income, I'm guessing it would not wipe it out completely for all households.

The prebate, under the FairTax (if that is what you are speaking about) is given to EVERY family on an amount up to the poverty level set by Congress.

Everyone pays "their fair share" (as you put it) because there are no exemptions and/or loopholes in the law to exempt anyone. Individuals pay the tax. Businesses pay the tax. Government entities pay the tax ... on all purchases. Tourists pay the tax ... on all purchases. EVERYONE PAYS - no one can get out of not paying. Plus, no one gets refunds.

Additionally, the 23% rate is replacing Income Tax, Social Security Taxes and Medicare Tax. Plus it repeals these taxes (a constitutional amendment is needed to get the 16th Amendment repealed) and thus does away with the current tax code. K Street is also out of business.

If it is the FairTax you are talking about. There are many plans out there and many have bills filed in the US Congress.