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To: nanny
Services to repair items will be taxed..more durable goods will cost more initially than cheap throwaways thus more tax on purchase.

The bottom line is non productive things like tax accountants and lawyers and IRS and paperwork that produce nothing tangible will be drastically eliminated..the taxes will be much more efficient. Look at how much businesses pay for tax advice and compliance...right now those than can afford the best advice can beat the system thus it is inherently unfair.

The government will always have enough income (one way or the other) but IMO a NRST makes collection of taxes fairer for all and more efficient. Those that have tons of money can spend it and pay more taxes, those that prefer to be frugal and save or buy more durable goods can alter their taxes. It will be an individual choice and not so much a government choice. Politicians will loose power and people will gain power. Social engineering by making some deductions available will be almost non-existent, the people will be able to make their choices not the government...Look athe the tax break given large SUV's for business use, which contradicts fuel econeomy...a failed product of our tax laws. If there was no tax advantage for one vehicle over another, business would go with efficiency (initial cost, fuel & operating costs etc.) making efficient long lasting products more viable.

Look at the administrative nightmare we have to levy and collect taxes, most just thrown away in inefficiency. Imagine a private organization trying to raise money with thousands of pages of regulations compared to saying hey everyone just contributes x percentage of y.

46 posted on 04/13/2003 2:34:35 PM PDT by rolling_stone
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To: rolling_stone
Agree with you. FairTax allows politicians to retain some modicum of power. Flat tax really doesn't.

I'm more for Flat that Fair at this point. A 23% sales tax, plus 8% in WA state, plus property tax, and I'll be paying more in tax than now.

FairTax, however, may end up being massively deflationary if some of the recovered savings are passed to the consumer. B2B purchases are not subject to FairTax - this means business will get a huge windfall.

Could work, in my opinion, but 23% on purchases seems pretty steep compared with a 13 to 17% flat tax.
121 posted on 04/14/2003 11:40:16 AM PDT by RinaseaofDs
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