Posted on 11/15/2004 7:00:17 AM PST by Rakkasan1
MINNEAPOLIS - Rep. Gil Gutknecht is pushing legislation that would replace the federal income tax with a national sales tax.
"Think of a world where there is no income tax, where you get to keep everything you earn and you pay the tax man when you buy stuff," Gutknecht, R-Minn., told the Star Tribune of Minneapolis.
(Excerpt) Read more at twincities.com ...
Hardly.
"I have yet to see the NRST people address exactly who is supposed to collect that sales tax."
Uh, the merchants doing the selling??? Who would then forward the appropriate percentages to the Feds just as they currently do for State and City sales taxes.
Why is this supposed to be some kind of "rocket science" issue arguing against the NRST??
LOL! That would do it! Everybody goes on a cash basis system. Let's have the "BLUE" money be for the old-system, already-taxed money, and the "RED" money be for the new-system money. That way we can perpetuate the red-blue divide in America and ensure that the RED wins out in the end!
No need. Put them to work for the Fedgovs various auditing departments finding all the lost money that the Feds can't keep track of (billions upon billions of dollars), then eliminate the positions as they age and retire.
Who said the goal was to benefit "wealthy people?"
Everyone that I have seen who speaks against it. I didn't write down their names. They all say it will unjustly place the burden on poor people that spend 100% of their earning and will therefore be taxed on 100% of their earnings. Of course the vast majority of people spend their entire wad every month, so maybe their definition of "poor people" is not an economic one.
There is no law on the books that would prohibit a NRST on top of an income tax now. However, once the FairTax is the law of the land, taxation of income, estates and gifts will be prohibited.
No congress in their right mind, would totally abolish the income tax system without a successful, proven, revenue generator in place. Once the success of the FairTax is realized...taxing "income" will be irrelevant and repeal of the 16th Amendment would fly through the states for ratification. Repealing the 16th will be easier, not harder since the amendment no longer has any real meaning - it is an anachronism.
I love your solution, an example of that old acronym, KISS. (I'm not calling you stupid.)
The FairTax has positive effects on residential real estate far beyond this narrow question.
Today’s homeowners, if they itemize (and 70% do not), pay their interest with post-Social Security/pre-income tax dollars. They then pay their principal with post-SS/post-income tax dollars. Those who do not itemize get no advantages at all. Under the FairTax, all homeowners make their entire house payment with pre-tax dollars.
With the FairTax, mortgage interest rates fall by about 25 percent (about 1.75 points) as bank overhead falls; this is a huge savings for consumers. For example, on a $150,000, thirty-year home mortgage at an interest rate of 7.00 percent, the monthly mortgage payment would be $999.12. On that same mortgage at a 5.25 percent interest rate, the monthly payment would be $830.01. Over 30 years, the 1.75-percent decrease in interest rates in this instance would result in a $60,879 cost savings to the consumer.
Finally, first-time buyers save for that down payment much faster, as savings are not taxed.
Under the FairTax, home ownership is a possibility for many who have never had that option under the income tax system. Lower interest rates, the repeal of the income tax, the repeal of all payroll taxes, and the rebate mean that people have more money to spend, and have an increased opportunity to become home owners.
(I'm not calling you stupid.)
LOL, you would only have been truthful if you had.
thanks for that.email blast of letters to the editor going to the papers...
"A national sales tax will NOT benefit wealthy people in any way shape or form."
this isn't supposed to be the basis for tax law anyway.(to benefit the rich or the poor)
It should be neutral and fair, hence the name.
Try going over to fairtax.org and reading ALL of the material. Come on, is there a state tax agent sitting right next to cash registers? No, and there will be no need for it to happen when the Fair Tax is enacted.
The people who will collect the National tax will be retailers. They'll do exactly the same things they do now for state, county, and local sales tax. The one exception is that they get to keep 1/2 of a percent of the tax collected to cover their admin costs. That's a lot better than being under the gun from the state with nothing in return except that you get to keep your business license and stay out of jail or keep breathing.
What part of the government NOT forcing you at the point of a gun to give up a part of your life do you all not get? This is a very simple matter, and if you would actually READ the materials at fairtax.org and fairtaxvolunteer.org you would get this this is as sound a plan as they come. All the bases have been covered. Even the Founding Fathers understood that voluntary taxation was the best way to go. Compulsory taxes are inherently evil and should be treated as such.
Gutknecht, a member of the House Budget Committee, said he's "moved from a lukewarm fan to a fanatic" supporter of a national sales tax.
Strange how learning about the Fair Tax Act H.R.25 can do that to a person ;O)
A Taxreform bump for you all.
If you would like to be added to this ping list let me know.
John Linder in the House & Saxby Chambliss Senate, offer a comprehensive bill to kill all income and payroll taxes outright, and provide a IRS free replacement in the form of a retail sales tax:
H.R.25, S.1493
A bill to promote freedom, fairness, and economic opportunity by repealing the income tax and other taxes, abolishing the Internal Revenue Service, and enacting a national retail sales tax to be administered primarily by the States.Refer for additional information: http://www.fairtax.org, http://www.salestax.org & http://www.geocities.com/cmcofer/ftax.html
Gutknecht's Market was bought this past summer and is up and running again. Praise God, they have the best meats around!
He's in the district next to me and relies on my good FRiends muy mucho...we MUST, if we are to be a FREE and PROSPEROUS NATION - remove the repugnant, traitorous, mafia-like unlawful IRS/IRC tyranny from America!
The Fair Tax picked up Fortenberry in Nebraska as well!!
Did you ever get a list of how Fair Taxers did on Nov. 2nd?
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