"...then god help us, the federal government will then have two taxes in which to tax us to death, one on our incomes and another in the stuff we buy." -lewislynn
"They already have that. HR 25 would prevent it." - Principled.
Principled. No, HR25 would not accomplish this. It is, after all, only a law. As such, any future legislature could repleal HR25 by simple majority vote. Only the repleal of the 16th Amendment would strip the power of congress to levy income taxes. I agree with lewislyn, until the 16th is repealed, you run the very great risk of having both a national sales tax and an income tax.
HR 25 does some things that will prevent an income tax from returning so quickly.
First, it eliminates ALL federal withholding. How easy would it be to convince voters that their paycchecks need to be reduced again? How easy would it be to convinve employers to begin paying their "contribution" to FICA? This would be a significant obstacle to having both systems...an obstacle we currently do NOT enjoy.
Second, all exports will be leaving our shores at a price 25% less than under an income tax. Would these companies be willing to allow their market share to drop again. Hell, it's hard enough to compete agianst countries that rebate tax costs and have practically zero labor cost. This would be a significant obstacle to having both systems...an obstacle we currently do NOT enjoy.
Third and maybe most compelling, the entire income tax code is erased from law - poof - gone. How easy would it be to re-write, negotiate, and pass an entire income tax code? Hell just look at how long it's been trying to negotiate a retail sales tax - 10 yrs at least now. This would be a significant obstacle to having both systems...an obstacle we currently do NOT enjoy.
Repealing the 16th is not sufficient to prevent an income tax - only how it's collected. That's why the amendment that the fair tax people wrote includes language to not only repeal the 16th, but to affirmatively state that the taxing of income is actually unconstitutional.
I must stress that we do not currently have ANY protection against having both taxes... NONE. If you are truly concerned about this horrendous possibility (as I am), you'd be wise to look at HR 25. .
Yes. That is one of the things I like about HR 25. Folks would have to pull green money out of their pocket everyday to pay for the government. ON every receipt it would say "Federal Tax 23%". That portion of the price represents one's full tax burden. We'd feel it and feel it good everyday.
You haven't paid attention to what the FairTax bill does. It not only creates a workable, simple revenue neutral system, it also eliminates the portions of the tax code relating to income tax in addition to de-funding the IRS and requiring all iT records to be destroyed.
Years ago when the Brits were getting rid of their first IT, gleeful bonfires were held by the citizens to do the burning of such records. Perhaps we should do something similar so you naysayers will be able to realize that the IT has died a very deserved death. The 16th amendment repeal is merely a stem to help make it harder to return.
The real killer, though, for the return if the IT is the preference of the American people for the FairTax once they have tasted its many benefits. If you think a simple majority vote would bring back the IT, you are quite mistaken or merely one of he naysaying fearmongers on the thread that cannot conceive of something they have not known in their lifetime - freedom from government oppression via the income tax.