[Principled]

The idea of the United States government sending a monthly check to every household in the US is a mechanism of socialism at its worst; it is communist-style income redistribution

Redistribution is taking it from one and giving to another. That doesn't happen with the prebate. It is provided to an individual who then spends it back to gov't. No redistribution is taking place.

The reason for the prebate check to all families is to eliminate the need to identify specific items for exclusion and to eliminate the need to track income, as that would open the door to manipulation and politics... exactly what we want to avoid.

If somebody were to try to increase the tax rate, the rate would go up equally on EVERY SINGLE INDIVIDUAL WHO BUYS ANYTHING- every kid, every adult, and most importantly, every single voter.

In today's system, pols can raise taxes continually by playing cat and mouse with who is paying what- giving favors to contributors, playing class warfare, pretending business pays tax.... that all goes away under the nrst's preabte system, which is NOT, btw, redistribution.

And since many states already exempt food, etc. from sales tax, it isn't as if there is any complication in doing so at a national level as well.

Did you know Doritos is exempt but Fritos aren't? Did you know bologna is exempt but hot dogs aren't?

This type of political control over what food "is" ... is so infantile. Simply exempt all necessities as defined by the purchaser.

When taxes through such a mechanism are raised to confiscatory levels, the result is a reduction in consumption (and a direct reduction in tax receipts) that is rapidly apparent to government. In other words government can be immediately shown the folly (damage to the economy, and loss in revenue that it receives) of excessive tax rates, something that is somewhat missing from our current (hidden) tax system

Indeed. This is the assertion made by Alexander Hamilton in the Federalist Papers.

Remember the prebate is not REdistributing anything. It's a wash by individual. Its function legislatively (politically) is to eliminate the tax on necessity. In reality, it helps remind EVERYONE, even the poor, that government has a price.

Even if you're at the poverty level, you'll have to reach in your pocket and cough up the green for your taxes... every time you buy. Of course, the prebate would prevent you from having any net tax liability on necessities, but having to pull green from the pocket is a nice effect IMO.

[Technogeeb]

Redistribution is taking it from one and giving to another. That doesn't happen with the prebate.

Yes it does; or at least it can. The prebate/rebate is a check drawn from government accounts that goes to a recipient. That recipient then spends (or doesn't spend) that money. Unless the associated bureaucracy literally micromanages the economy and watches the spending of every single citizen to assure they get back only the exact amount to the penny that they paid in taxes on the relevant items, the result will be tax money (paid in by one individual) that will be going to another individual. That is redistribution of the wealth.

It is provided to an individual who then spends it back to gov't.

If that is really true, then it is self-evidently the most idiotic thing any member of Congress has ever proposed. What possible benefit could be obtained by having a bureaucracy whose sole purpose in life is to collect taxes from an individual, and give them the exact same amount of money back? It certainly provides no benefit to the taxpayer, and there is no gain derived in tax receipts. Obviously, the real purpose for the existence of such a mechanism and associated bureaucracy must be something else. If it is not redistribution of wealthy (the only thing for which it seems to be useful), then what is its purpose?

The reason for the prebate check to all families is to eliminate the need to identify specific items for exclusion and to eliminate the need to track income, as that would open the door to manipulation and politics... exactly what we want to avoid.

In that case, another mechanism needs to be found. Adding specific items for inclusion/exclusion of taxes is nothing compared to the risks the rebate system would have.

If somebody were to try to increase the tax rate, the rate would go up equally on EVERY SINGLE INDIVIDUAL WHO BUYS ANYTHING- every kid, every adult, and most importantly, every single voter.

And at the same time the tax rate went up, the government would simply increase the "prebate" amount, thus guaranteeing to these people that THEY wouldn't be paying the higher rate (or worse, they would be getting back even more money from the government each month, whether they spend the money or not).

which is NOT, btw, redistribution

Sorry, but the only way to keep such a system from being income redistribution would be a police state tracking even the smallest of purchases. No thanks; I'll stick to the tax code as it exists now (as much as I despise that particular abominiation).

Did you know Doritos is exempt but Fritos aren't? Did you know bologna is exempt but hot dogs aren't

Perhaps in some states. But this could not legally be done at the federal level. Such a specific enumeration of products by brand name would be a bill of attainder, and illegal under the Constitution (of course, that probably wouldn't stop them, but still the principle is there).

I realize what you are saying as to the purpose (or rather, the purpose by the author) of the "prebate". But the very existence of the associated bureaucracy that would be required for it's functionality, not to mention the risk of tampering for income redistribution purposes, still appears to be a fatal flaw in the scheme. It would be far simpler (not to mention being cheaper for both the taxpayer and government) just to not tax those things in the first place.