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An interesting sidenote on this argument is that King George experimented with a crude form of a "withholding tax" at the time of the American Revolution. Even he recognized that if a tax could be partially hidden, the objection to the tax would be minimized.

Even if the tax take is EXACTLY the same, the American people will be more aware of the tax burden if their money comes into their personal hands first, and then is paid out later as a tax. Most American people, sadly, think in terms of their take-home pay, which takes the focus away from the tax burden they are paying.

Congressman Billybob

Latest article: "An Open Letter to President Bollinger"

Please see my most recent new statement on running for Congress, here.

CB, I hope you realize that the FairTax has been polled at upwards of 80-85% wherever it has been offered. There was a straw poll on the ballot of Gwinnett, Cobb and Fayette counties in Greater Atlanta this past summer during the primaries and the results were the same. If you want to get elected, run on the FairTax my friend, among other things.

I don't know why politicians don't glom onto this.

" Even he recognized that if a tax could be partially hidden, the objection to the tax would be minimized."

OK. Now I get it. You mean if the tax is partially hidden and misleading people may buy into it being a good deal.

Kinda like the Fairytax when they say its going to be a 23% sales tax, but when you buy a $1 item, after the tax is added it wont be $1.23. It will be more.

Great idea, hiding what the real tax will be. I'll bet that will help to get people on board with this.

In another form the FairTax is just another form of withholding, this time by the retailer rather than the employer ... except you get no summary accounting of what you pay over time.

So how so you think the average, math averse taxpayer will reconcile his daily FairTax tithing at the grocery store against the lump sum payment they receive monthly to offset his spending on "necessities," (his "prebate")??

My guess is probably the same he rationalize his 1040 each year: "I didn't pay any tax, I got a refund!."

A conversation overheard after the implementation of the FairTax:

FairTax supporter: "Naw ... it just the opposite, your Income tax rate was probably 21% and your Payroll tax rate was another 15% ... that's 36% right there! Don't worry, gub'mint just got cheaper under the FairTax, yessirree!"

If anything, the amount of tax paid is totally lost in plain sight under the FairTax by dicing up the payments into thousands if tiny daily bits. Then buried further by the prebate. You will NEVER know how much tax you really paid unless you keep track of EVERY receipt you get ... and properly deduct your prebate. There is no summary accounting.

If you want to make taxpayers painfully aware of their tax burden, simply eliminate withholding and force Joe Taxpayer to write a monthly check ... rather than receive one.

Exactly! With the Fair Tax, people know the true rate of what government costs them and they have to decide if all those programs are worth paying for. Under the current income tax system, voters are not consumers. The price tag of government is kept hidden from them and politicians are able to keep the true cost out of sight and out of mind. With the Fair Tax, the upper rate would be 40%. Raise it any higher and people will negate attempts to raise it higher simply by cutting back on their spending and changing their consumption habits. In short, whereas the income tax empowers the government, the Fair Tax will empower the people.

"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." -Manuel II Paleologus