Eliminating today's complex income tax sounds wonder. The idea is not new. But would Congress ever allow that to happen? How much oppositon would Fair Tax run into? Impossible, yes or no?
2007-12-09 17:34:12 · 7 answers · asked by JIM 4 in Business & Finance ➔ Taxes ➔ United States
Fair Tax has run into roadblocks for years because it is so regressive and would amount to a 30% or so sales tax (in addition to state sales tax.) It is a great idea if you are rich and not great if you are part of the most of us who will pay more.
2007-12-09 17:52:25 · answer #1 · answered by Anonymous · 3⤊ 0⤋
Can Huckabee do it? NO, there are just too many special interest groups in the US. Each of them has deeply held opinions as to what is fair regarding taxation. That is basically why the tax code is so huge.
Some say have a flat tax, some say a national sales tax, some want the rich to pay more, others want no tax, some believe taxes are illegal anyway, and some don't care enough to make a change.
Ross Perot talked about creating a simple tax system based on a complete investigation of various tax alternatives. That got him elected didn't it.
2007-12-10 01:26:24 · answer #2 · answered by nealeinmi 3 · 1⤊ 0⤋
I am a conservative and I dont think its wonderful. While I believe in fair tax, I also believe in lower taxes, and I just dont see how his plan can keep taxes low, while also providing tax rebates for the poor. And after his administration ends, what stops the next govt. from also imposing a income tax again. THe focus should be on a flat tax, but also a low tax.
Can Huckabee do it? No, b/c even amongst conservatives there is a debate if it will work. We cant even get Social Security reformed, and we are talking about taking down the IRS which is loaded with many lobbyist.
2007-12-09 19:16:43 · answer #3 · answered by hsingh86 2 · 0⤊ 0⤋
The poorly named "Fair Tax" is a terrible idea, unless you're very wealthy. The wealthy only spend a tiny fraction of what they earn, unlike the poor and middle class. They would massively benefit from that horrible tax. The poor would be decimated even with the so-called "prebate" and the middle class would bear the brunt of the load.
Does it REALLY sound like a great idea to have to pay an additional $60,000 in taxes when you buy a new $200,000 home? Or an additional $6,000 in taxes to put tags on a new $20,000 car? Needless to say, such a tax burden would crash the construction and automotive industries and put thousands of people out of work. The knock-on effects of that would crash the entire US economy over night.
While it sounds tempting that it would tax the "underground economy" such as illegal aliens and tax cheats, it would trigger massive black marketing in everyday goods as people tried to avoid the tax and remain solvent. That type of activity is run by criminal gangs so you'll be buying that next DVD and box of Fruit Loops from the gang bangers just to make ends meet. Is this REALLY a good idea?
Of course, to combat that type of tax fraud, the government will be passing draconian new laws. Imagine a field audit in your home as IRS agents paw through your drawers looking for untaxed gruns or armies of agents coming through your neighborhood and rummaging through your trash looking for evidence of untaxed goods.
Not no, but HELL NO! And ANY politician who proposes this farce automatically loses my vote for all time. This would destroy the country and will never pass as cooler heads in Congress will never allow it out of committee. There's a reason that it has languished in committee for nearly a decade -- it's a political football that will never make it into the end zone, thank God!
2007-12-09 23:05:56 · answer #4 · answered by Bostonian In MO 7 · 0⤊ 1⤋
The so-mentioned as honest Tax has no traction with the two Democrats or Republicans, partly provided that's economically unfeasible. it is likewise fairly a rhetorical stretch to call it "honest"--that's a deeply regressive taxation shape. SO I doubt that any one in Congress might decrease back it, even have been Huckabee to be elected president.
2016-10-10 23:16:31 · answer #5 · answered by loy 4 · 0⤊ 0⤋
If people really looked closely at it, the middle class as a whole should really be against it, since they'd pay a lot more overall. But it's being sold as "fair" so it sounds real good to people who don't really look into it. The poor as a group probably lose some, and the wealthy come out really well.
But the likelihood of it being enacted is about nil anyway.
2007-12-09 18:54:04 · answer #6 · answered by Judy 7 · 1⤊ 0⤋
No such thing as fair tax,What is fair to some is too much for others.
2007-12-09 23:00:20 · answer #7 · answered by taxed till i die,and then some. 7 · 0⤊ 0⤋