Replies

Wonder what's considered "fair"? 25%? 35%? 55%? Once they open this door, every year congress will hike it a 1/4 to 1/2 percent! Until pork is controlled, this is a waste of time!

Please think about this bill for a minute. The national retail sales tax that's enacted in the FairTax bill applies to every single consumer in the nation on everything they purchase new at retail. Representatives are elected every two years. Most would have a difficult time getting reelected if they supported raising taxes on every single American. The only way the liberals can get away with their tax hikes is to pin them on the "evil rich". Once the same tax applies to everyone, raising that tax becomes incredibly politically unpopular.

The flip side of that coin is that every American will see exactly what they pay in taxes every time they buy a new item, rather than having the taxes hidden in payroll deductions, "employer-financed" Social Security taxes, "corporate" income taxes, and compliance costs. Once people realize that their federal government is spending ~23% of everything Americans earn, mostly on unconstitutional nonsense, there will be a real impetus to cut spending that doesn't exist now because so much of our tax burden is hidden.

"Wonder what's considered 'fair'? 25%? 35%? 55%? Once they open this door, every year congress will hike it a 1/4 to 1/2 percent! Until pork is controlled, this is a waste of time!"

"It is a signal advantage of taxes on articles of consumption, that they contain in their own nature a security against excess. They prescribe their own limit; which cannot be exceeded without defeating the end proposed, that is, an extension of the revenue. When applied to this object, the saying is as just as it is witty, that, 'in political arithmetic, two and two do not always make four.' If duties are too high, they lessen the consumption; the collection is eluded; and the product to the treasury is not so great as when they are confined within proper and moderate bounds. This forms a complete barrier against any material oppression of the citizens by taxes of this class, and is itself a natural limitation of the power of imposing them."
Alexander Hamilton in Federalist #21

Wonder what's considered "fair"? 25%? 35%? 55%? Once they open this door, every year congress will hike it a 1/4 to 1/2 percent! Until pork is controlled, this is a waste of time!

The concept of "Fair in the Fair Tax Act does not have to do with the rate. It has to do with people determining how much they are taxed based on how much they spend. People tend to increase spending as their income increases. Also the rebate amount on necessities will be larger for those who have lower incomes. Consequently higher income people will pay a greater percentage of taxes relative to their incomes.

Congress can raise the tax rates under any tax system if the people allow it to happen. I suggest you go to Fair Tax FAQ's for more information.