If you oppose the FAIR TAX, Why?

Answer 1

I'm all for it, really like the part that makes everyone in the US pay their fair share.

No loop holes for weasels rich or so called poor to slip through.

"Everyone contributes — Illegal immigrants and the underground economy will start paying federal taxes as well."

Answer 2

People really don't understand the Fair Tax, as evidenced by many of the answers. Yes, it is a consumer tax - but only on new items. Use items are exempt. Let's face it, the rich usually by new and the poor usually buy used to save money - well they won't have to be burdened with and additional tax.

The other great thing about this is that it will drive down prices of items that we buy today. The reason is that today, corporations are taxed a lot of money. They essentially pass that tax onto the consumers! Some have estimated that it's about a 25% drop in many cases. There are other reasons for the prices to drop too. Corporations spend billions of dollars each year just to be in compliance with the tax laws. That will disappear.

Does anyone really like filling out those forms that are due April 15th?

Answer 3

For a few reasons:

1) Why do you have to label it the Fair Tax? Its supporters should be honest on what the tax is: It is a consumption tax that resembles in the eyes of most (rightly or wrongly) a sales tax. If it is something that the public will support on its merits, call it what it is: a consumption tax.

2) Our economy is consumer/services driven. The consumption tax known as the Fair Tax would be a tax that weighs more on these areas.

3) As with all high consumption taxes, the enticement of the black market is high. When you consider the rates you will be taxing at, you would instantly have a black market.

4) I do not think the income tax or the IRS is the problem. Our problem is the excessive tax regulations. Eliminate most if not all tax regulations, and the income tax will work fine.

5) I am suspect of any government plan to send monthly allowances to people. This by itself creates the culture of entitlement by people expecting governmen checks.

6) I find the collection system to be a farce. Do you really expect the states to collect the taxes more efficiently than the IRS? I think each level of government should collect its own taxes not demand another branch of government do it for them.

Bring forward a flat tax of 13 percent that has only two deductions: Retirement savings and dependent deductions.

Answer 4

Some of the 'anti-fair tax' answeres here are pure b.s.

Fair tax is a fair tax.. in that you pay on what you consume...and only only new stuff.. used has no taxes.

And since the poor buy almost everything new except food ..they would get off nearly free (plus the rebate)..and many would end up becoming middle class.

Btw, with this kind of tax, you will have a whole lot more buying power & cashflow... and will be able to do a whole lot more of whatever u do.

Answer 5

Most conservative tax proposals feature replacing progressive taxes with regressive ones. This has the effect of shifting the burden of taxation from the rich to the middle class. This has been going on since Reagan, and during that time the top 1% have doubled and tripled their share of ownership of the nation and of their economy.

A national sales tax is the MOST regressive plan. Yes, there is a rebate below a certain level, but if you're above that level (as most working people are) you really take it in the shorts. People who aren't able to put a lot of money away get taxed on everything they spend. People who are rich enough to be able to put 1/3 or 1/2 of their money into investments get a big tax break so they can get even richer.

Answer 6

The main problem I have with it is all the complications and bureaucracy needed to deal with the prebates and rebates.
If they'd skip that part, and instead give exemptions for groceries, medicine and clothes under$50.

A 'fairtax' is good because the underground world has to pay taxes too, illegals, pimps, etc., as well as tourists and even kids that blow money at the mall.
I however wouldn't be in favor of anything that would reduce revenues, since the debt is so high, and we are already skimpy enough when funding projects for the common good, like schools, roads, bridges, port security, defense, tsa,
and police/fire/EPA on and on....
People want these services but they do cost money.

Answer 7

there are two reasons I am against it.
1. It eliminates our ability to encourage or discourage certain behaviors. EXs. currently retirement savings are untaxed so more people put money in them. You will have removed this incentive and will be suddenly taxing current retirement funds that are exempt. Also charitable giving is currently rewarded and will no longer be a benefit to the giver.
2. implemintation. We have no idea how this woould affect prices of goods, corporate behavior, and consumer spending. The level we set the tax at could result in grossly insuficient funds to run the government, or worse a huge increase in cost of goods thus stiffling the economy.

Answer 8

Yea right. How about a flat tax versus a scam tax? Absolutely NO right-offs. Neo-cons would have a fit. CEOs would pay lobbyists billions to stop it from passing.

Go to a flat 12% tax and abolish the IRS. The funds would go directly to the treasury period. 12% of every nickel addressed to you would be auto deducted. ALSO ban direct, offshore deposits. ALL US citizen's monies must first enter a US bank prior to being transferred offshore. CEOs would start a revolution.

Answer 9

Like 'fair' trade, it's not really fair. As a consumption tax, for instance, it would be highly regressive, much as sales taxes are now.

Answer 10

It's a consumption tax

a larger % of a poor and middle class persons income is spent on things like goods and services

I suspect they will be taking on more tax burden (even with the "pre-rebate")