To: Alex Murphy
IMO the problem with a "fair tax" is that it's only "fair" to the single wage-earners who have no dependents and no mortgages. Their taxes will go down, but all the married-with-two-kids-and-a-mortgage wage earners will see their federal taxes go up.
It will be fair to everyone since they will have more input as to when and how often they are taxed based on how often they decide to make purchases as opposed to the income tax where the government makes the decision to take money from your hard earned wages before you receive a paycheck.
You also need to factor in that most people fall into the 15% tax bracket, pay the 7.5% payroll tax, the 7.5% employer matching and the 23% embedded taxes in all items today. The total is over50%! That will be reduced to 23% with The Fair Tax. Then factor in the prebate and the effective tax rate will be less than 23% for everyone and lower for low income earners than higher income earners.
57 posted on
04/20/2009 4:53:24 PM PDT by
Man50D
(Fair Tax, you earn it, you keep it!)
To: Man50D
The total is over50%! That will be reduced to 23% with The Fair Tax.And it will be revenue neutral. Free money!
59 posted on
04/20/2009 4:55:15 PM PDT by
Mojave
(Don't blame me. I voted for McClintock.)
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