If you line up a hundred people, and explain the flat tax in detail....the vast majority (probably over 70 percent) will approve of the idea. Say a flat 12-percent for all private citizens and a flat 19-percent for major businesses.
But then you let the hundred folks know....there’s no credits that they can take....nothing on the home loan, kids, college, etc. At that point, folks get a bit frustrated and let you know they aren’t that happy with the flat tax idea. Same business operations...they expect credits.
In the end....you can’t get past credits. It’s part of our American tax mentality.
We have to do it.
There is so much wrong with the “Fair Tax” starting with it's Orwellian name. there is nothing ‘fair’ about taxing 33% of everything you buy.
There is also the deceptive “tax inclusive” price- you get the final price- they don't show you the price, and then the price plus tax- like they do not with sales tax. Because people would FREAK OUT at buying a $99 item and having to fork over $130 for it.
In addition, the “tax-inclusive” rate at 27% is really closer to 33% when you use the normal way of calculating sales tax- it is deceptive lower.
You cannot calculate “tax inclusive” tax amount in your head. And I guarantee they won't break it out for you on the receipt. (see two paragraphs back)
and last but NOT least- The “pre-bates” in the fair tax are the main killer for me.
Every politician in the world will be scrambling to promise a bigger and bigger pre-bate, every election.
The flat tax's beauty is its simplicity.
Your tax form would be two lines:
1) how much did you make
2) send us 10% of that.
no deductions, no special interest groups favored with tax breaks, everyone pays the exact same rate. Let's see the libtards TRY to say its unfair that someone who makes 10 times as much as you pays 10 times as much tax (and not 100 times)