When the commercials start telling the public that their food and clothing are going to be taxed, they're going to bolt. Yes, I understand that there's plenty of tax already built in to the price of anything, but the public will choose to go with the devil they know. I think this is an electoral nightmare for the Republicans.
I don't mind making the federal income tax less progressive, but making federal taxation regressive is going to lose elections.
"I don't mind making the federal income tax less progressive, but making federal taxation regressive is going to lose elections."
-- It's not regressive. The good people at http://www.fairtax.org
solved the dilemma of sales taxes: how to get progressivity. How did they do it? Every American will recieve a "prebate" every month to pay for enough goods and services up to the poverty line. If you live exactly at the poverty line, you pay 0% in taxes (including no payroll taxes). If you're below it, you pay a negative rate. The higher up in your income you go, the less the "prebate" is a factor in how much you pay in taxes.
Take a look at the chart:
If that's not progressive, I don't know what is.