Fiscal Conservatives! Have you seen this?

Question

http://www.fairtaxvolunteer.org/smart/sketch.html

I just discovered this and think it would be a great start against taxation without representation.

You know, that whole thing that pushed us for independence? Yeah, its happening again, dammit! lol.

All opinions welcome, as long as they are constructive

Answer 1

This is not exactly a new idea. Republicans have been touting a national sales tax for years. However, (predictably) the liberals always give the usual "the rich won't pay their fair share and the poor will pick up the tab" argument.

The only problems with the proposal you linked to are:

1) There is no need for a national sales tax to be "progressive" in order to be equatable. All that is needed is to exempt food and housing in much the same way that states with a sales tax do. Those who have little disposable income will spend very little in actual dollars on things other than the basic necessities while the more wealthy will spend much more on luxury items. This makes the system naturally progressive.

2) The amount of tax necessary to match our current IRS revenue does not need to be nearly as high as the article implies. I don't have the data at hand, but a couple of years ago I tracked down our GNP minus food and housing as well as the amount of revenue the IRS took in in that year. I came up with a figure of around 10-12% required to match our current revenue.

Answer 2

Although this has nothing to do with taxation without representation, I think it's a good idea. I have been for revamping the tax codes fore quite some time. Either create a National Sales Tax or have taxes paid on a postcard, no deduction bs.
Also, under this plan, the rich would actually pay less than they do now by paying the same as everyone else. Contratry to what people say, the rich pay far more in income tax than low to middle class citizens.

Answer 3

A national sales tax of 10% on the dollar is the best system ever. Provided the income tax is abolished too. That one change would boost the economy in such a way we would have very little poverty and virtually no unemployment. Run the numbers of your own budget, multiply that by the number of Americans who presently are subject to income tax witholdings and you will see the advantage clearly.

Answer 4

Unfortunately the fair tax is simply too fair to ever get through. Under the fair tax, wealthy people would pay the same percentage tax as poor people.

Basically, the fair tax would eliminate people who pay zero income tax and still get a refund (of money they didn't pay in) and the democrats would NEVER let that happen.

Answer 5

Definatly intresting. I wonder how that would work out in the long run with government spending and how much of a difference their budget would look, state taxes might get out of control. Im more of a 'flat' tax type of guy. You never know though.

Answer 6

I've seen it. There's a book out about it also.

Sounds great. But somehow the government will mess it up. Probably keep the income tax too.

Repeal the 16th amendment!

Answer 7

I would love to see all of us pay the same tax across the board, but I have a feeling the IRS won't allow that, since it will basically cause them to become extinct.

Answer 8

Think about this - there is an age limit to be able to run for office. I think no one that can't run for office should have to pay taxes, because young people are not represented.

Answer 9

I am all for the Fair Tax.

Answer 10

Sorry I don't get the question LOL!