People spend more than they report for federal income and payroll tax purposes for certain, alot more.Are you talking about "taxable income" again? Because it does well to remember that not all consumption will be taxable under the FairTax. The FCA reduces the "taxable consumption" significantly.
Are you talking about "taxable income" again?
Because it does well to remember that not all consumption will be taxable under the FairTax. The FCA reduces the "taxable consumption" significantly.
You are right it lets see the 2001 $9 Trillion "taxable consumption" base defined by the Fair Tax Act and estimated from NIPA data, is more than double the $4.1 Trillion "taxable income" base reported by the IRS website. The FCA reduces net tax revenue from the "taxable consumption" base by about 20% leaving about $7 Trillion net for the "taxable consumption" base.
Indeed there is a significant difference in individual taxbase sizes accounting for FCA, I would say.