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.
You aren't "untaxing" anything.
It would be a hell of a lot simpler to define those things not to be taxed and then just not tax them. No administering bureaucrats for the 'prebate'. I have said before, those things should include food, primary housing, healthcare, and the energy to heat/cool that primary housing. Just. Don't. Tax. it. It doesn't get any simpler than that.
If the concern is that someone might live in 7500 square feet instead of 750, so what? They still have to furnish that, (more taxes furnishing 10X the space), they still will have 'stuff', they will likely have more elaborate equipment to tend to the grounds. All that will generate revenue.
As far as prebates not being a redistribution scheme, yes, they are. It takes money collected from people who spend more on the necessities (as set up) and gives it to those who spend less. Who gets to decide how much is 'just right', versus "more than your family needs". Now I ask that for a reason, because I live somewhere where there are a whopping 8 hours of daylight in the dead of winter, and temperatures reach -30 pretty commonly. Someone who lives in a more tropical latitude will decide whether or not I need heat? Whether or not I use too much and should be taxed on the "excess"? How will you, or anyone, as a practical matter decide? Or will we all be stuck with a one-size fits none average, gimmicked like the inflation figures?
Nope. No thanks.
10% for Jesus, the government should be satisfied with an equal share, and the rest I bust my ass for for me and mine. Stuff the Federal Government back in its (Constitutional) cage and it won't need more than that.