When you prebate peddlers get done trying to redistribute more wealth in the name of ‘fairness’ maybe we can talk. Bye.
Well, Joe, I don’t much like the prebate, either. But it is in the legislation, as it is now written. If it were removed during markup, the FairTax rate would be 18% rather than 23%.
Studies have shown, BTW, that over time, as the economy improves under the FairTax plan (as it most certainly will!), the rate can be reduced.
I don’t believe the prebate is a show-stopper. There are too many benefits of the FairTax that over-ride your belief that the prebate is a negative. After all, untaxing the necessities of life (and only the necessities of life!) is a good thing.
Contrary to your opinion, the prebate is not a wealth redistribution scheme.
Every family unit is entitled (it is, BTW, voluntary - families can opt out of the prebate if they so choose) to a prebate, based on the respective family size. That is the only consideration taken into account: family size determines prebate amount.