Posted on 05/06/2009 11:57:23 AM PDT by Turret Gunner A20
... and this time it's none other than Dave Ramsey. The FairTax is a bold proposal. It is only natural that people are going to try to criticize it. Is it too much to ask for these people to do at least a modicum of research so that they at least appear to know what they're talking about?
This time the culprit is Dave Ramsey. I like the guy, and I like his approach. His sermons on living debt free are right on, and no doubt he's helped millions of people to improve their financial. OK .. mighty fine. But now he's taken it upon himself to opine that the FairTax simply isn't, in his words, "fair."
Let's take this quote from Ramsey's article: "People would only pay taxes on items they buy, except for food, basic clothing and other kinds of necessities." Most of the FairTax supporters know that this is just flat-out wrong. The explanation is incomplete.
If Ramsey really was informed on the FairTax he would know that you pay taxes only on items that you buy at the retail level, and that food, basic clothing and other kinds of necessities are included. Ramsey would also know about the prebate. He would know that every household in this country --- that is, every legal household --- would get a credit or check from the Treasury Department every single month equal to the FairTax they would be expected to pay on the basic necessities of life during the following month. This FairTax prebate is so essential to the FairTax plan that to ignore it, or to be unaware of it entirely, is worse than careless.
Ramsey also writes of the FairTax "This means it's more of a burden on poor people, because they would pay a higher percentage of their overall income."
Sorry, wrong. The poor, poor pitiful poor would pay virtually nothing - zero percent of their income - to the federal government. [ALERT! Brilliant thought follows!] To pay any taxes at all to the feds the poor would have to spend above the poverty level. If they're doing that ... they're not poor. Pretty easy, isn't it?
I wonder why Dave Ramsey doesn't get it? Is there a chance he just shot from the hip here without doing any real research? The FairTax deserves better than this flippant, uninformed treatment.
Dave Ramsey could be a good proponent of the FairTax. He's very bright, and he would recognize the beauty of this plan if he just would take the time to actually study it. Knowing what you're talking about .... Is that too much to ask?
Weird, this audio clip on YouTube seems to show Ramsey supporting the FairTax. Huh. Maybe he's lost changed his mind since that was recorded.
“But the single guy who has no children, doesn’t use the schools, needs less trash collection and other community services has to start paying taxes after the first $10k and will max out at approx $15k”
The fairtax is a federal tax, the services you list are locally funded. Just wanted to clarify for you.
“Hewitt has had as a sponsor for ten years on his radio show the “Mortgage Minute Guy”, and has always been a defender of the mortgage deduction for that reason.”
For that very reason, Mr. Hewitt has no credibility with me. Why does he advocate sending $10K to a bank so that one can avoid sending $3K to the federal government? My numbers are examples only....If someone wants to avoid sending money to the feds, then they can live in a paid for house and give $10K to a charity/church.
“I don’t know why Dave Ramsey is down on it: I am for something other than the current privacy-invading IRS and the thousand+ page Tax Code.”
See my post #138 for Dave’s clarification.
Have a good one.
“Actually a law could exist now that would print on every receipt the estimated embedded federal taxes that make up the purchase price.”
You are correct, a law could exist to do just that. However, I have very little confidence that it could be accurately portrayed. I doubt the government even knows with any sense of accuracy how much taxation really exists.
Just as an FYI, this is what Neal has currently on his nuze page.
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DAVE RAMSEY AND THE FAIRTAX
By Neal Boortz @ May 7, 2009 8:32 AM Permalink | Comments (15) | TrackBacks (0)
We need to kiss and make up. Really, we do. As I understand it Dave said on his show yesterday that he got it a bit wrong when he wrote about the FairTax on Townhall.com. Now I’m trying to get him on the air so we can swap some spit. No problem, Dave! All’s well.
If you don't want to discuss your points, then why do you keep posting them? Or is it that you are so arrogant that you expect us all to believe every misinformed opinion you post??
Beyond that, each person has a different amount of tax in each purchase...
each person has the same amount of business tax costs embedded ... but each person has had to earn a different amount of dollars to be able to have the price available.
If my fed effective tax rate is 21%, I have to earn 126.58 to have the $100 available. Pedro, who pays only payroll taxes has only to earn $108.28.
Another good point.
X will now run for the tall grass on this thread but be back on the next one with more of his factless sniping.
Did you stroke out and suddenly think you were addressing someone who cares what you think?
Not at all Mr. “arranged the biggest tax free transfer of wealth in history”.
Just relating facts in case someone might be interested!
That honor is now held by your best buddy Bawny Fwank.
Did you listen to Dave’s show yesterday? If not, you can link to it from my post #138. He addresses this rant by Neal at the beginning of the 2nd hour.
You must have me confused with one of your New England buddies as I have never met, and have zero interest in ever meeting, your buddy Barney!
/ignore putz {on}
Mainly it is that the older folks are looking for entertainment, and do that a lot, they like to go places and spend their money there. Usually spending more than they planned. lol
I know, I are one. lol Yes, I do have more CRAP than I need. lol, but my Fridge, washer and dryer will soon need to be replaced.
Seems like it is never ending spending just to maintain in good repair.
“All that matters is the flamethrower attitude that NB came out with toward Dave without having all the facts...”
Sort of like when you posted the following in response to the mistated reflection of Dave’s position and to my clarifications of that position:
#2: “Fairtax is a joke, and financially educated people know it.”
#48: “He’s educated enought to call a joke a joke.”
#53: “I’ve listened to dave for a couple of years now, never once heard him mention it in a positive way.”
#80: “One look at boortz’s rant and he’ll forget he ever heard of the FT.”
#96: “You better reconnect with your buddies that claim he is an “ardent supporter”... or does everything you post lack any semblance of truth?”
I have provided you the link where you can hear Dave’s position on the FT and his specific response to this rant by Neal. I have also posted Neal’s response to Dave, admittedly that was to the original poster of this article so you may have missed it.
Now, you essentially say that Dave’s position/clarification and Neal’s update is irrelevant because the typical FT supporter’s behaviour, which is amazingly actually the behaviour you have shown on this thread.
Good thing your folks built a great business for you (how long is it going to last under your control?) else you would have starved to death LONG ago putz!
I may not know everything there is to know about the so called fair tax, but if somebody who loves raising taxes as much as the huckster likes it I know I am against it.
SO, would you rather the government decide how much of your paycheck you can keep each month?
Would you rather enable the government to reach into your paycheck through the miracle of withholding and CONFISCATE that portion they deem legal before you’ve tithed, taken care of your family or saved a penny for retirement?
Given the option of being in control of my paycheck vs. not being in control of my paycheck, I’ll take control of my paycheck ANY DAY OF THE WEEK.
Take the “Pre-bate” and bank it for a rainy day or a vacation. Problem solved.
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