So why should any current wage earner embrace this scam?
Suddenly he is not only paying the same income and payroll taxes as before, but he has a sparkling new and HUGE onerous consumption tax. Even on the sale of homes!
D'OH!
The argument is that the consumer already pays for all those business taxes now. If you take out all the taxes, businesses will lower the price of their goods. In theory everything should come out equal with the taxes just being more visible and perhaps some savings in compliance costs. It is an interesting theory, but I can't see how it would work out in practice. I don't see how rents go down. I don't see how you convince employees to take a pay cut. And giving a monthly rebate to every family seems like a huge bureaucracy in the making.