Well... they both can be defined as a consumption tax. But, as I said, the flat income tax retains the IRS, retains withholding, retains payroll taxes, is not border adjusted like an nrst, and retains business taxes. Those attributes are why I don't like any income tax.
Cruz is spot on here leverage the IRS scandal to move the ball forward.
Amen!!!
[I]Well... they both can be defined as a consumption tax. But, as I said, the flat income tax retains the IRS, retains withholding, retains payroll taxes, is not border adjusted like an nrst, and retains business taxes. Those attributes are why I don’t like any income tax.[/I][p]
I agree with the body of the above, however The Flat tax proposals I have seen get rid of business taxes but have Cap Gains and dividends treated as ordinary income, getting rid of the double taxing of business profits. Also some (D Armey in the 90’s) have proposed getting rid of withholding and making people write a quarterly check to the government . Allowing people to experience the thievery first hand.
I have no issue with an NRST, replacing income taxes. However I see no scenario where an amendment repealing the 16th amendment could be passed. THe problem with that is as Friedman observed every country that passed and NRST, ended with both and the Sales tax metastasized into a VAT.
This is my fear.