Posted on 01/20/2008 6:29:07 AM PST by Man50D
During an election season, one of the first losers is the truth. The current misinformation campaign against the FairTax has been particularly virulent. Last month the FairTax was being panned by some columnists as a "crackpot scheme," even though it could be collected exactly the same way as its close cousin, the value-added tax, which is the most successful tax in the world. This month the FairTax is being vilified by various columnists as a tax increase for the middle class, even though it would provide a substantial tax cut for two-parent middle class families. Specifically, in a recent column, George Will asked, "Do you want a president (Mike Huckabee, proponent of a national sales tax of at least 30 percent) pledged to radically increase the proportion of federal taxes paid by the middle class?" Similarly, Time magazine's business and economics columnist Justin Fox wrote a blog piece entitled, "The FairTax and its big break for the $200,000-plus crowd."
The FairTax is a national sales tax that would replace the income taxes, the payroll taxes, and the gift and inheritance taxes. It would be a 30 percent sales tax on retail purchases. Since 30 cents is 23 percent of $1.30 (the amount you would pay on a $1 item), a 30 percent FairTax would cost you about 23 percent of your consumption. To help you pay the tax, you would get a prebate check or a debit card credit at the beginning of each month equivalent to the amount you would pay when buying necessities. In 2007, that amount would have been based upon $10,210 spending per adult and $3,480 spending per child.
(Excerpt) Read more at worldnetdaily.com ...
Maybe because you’re so used to an income tax that anything else takes too much effort to understand.
I’m taking a survey. What is you spending planning horizon - you answer should be in units of time.
you —> your
The most Socialist tax is the Income tax, whether it is “graduated” or not. Socialism is about redistribution of wealth and the government grabbing it in at the point of income is the most socialist way of doing things.
Any consumption tax would be better than any income tax. First, it could be argued that it is a regulation of trade. Second, it is a taxation of a business rather than an individual. Third, it is taxation of money after it has been earned and saved rather than before.
The least socialist, most conservative tax though, would not be a “flat” income tax, but a straight government use fee. An annual fee would be paid for every citizen and legal resident of voting age or above. And usage fees would be applied to federal facilities. No separation by income either through percentage or steps. No payment by consumption of non-government goods. Also, people would look at the government differently: as a service to be paid for by the populace, with everyone contributing an equal payment and the impression of an equal interest in government. If privately one wished to pay for another’s government service fee, then such an arrangement could be made separately from government interference and force of law.
I have a general spending plan that extends for an optimistic 40 years. More detail for the next 5 years than beyond. Monthly cash flow plan for ~ 1 year out.
One poster indicated that there was no need to consider future spending beyond a week. Just got me to thinking.
It depends on when major recurring expenses happen. I have quarterly car insurance payments, so 3 months is necessary to take that into account. I don’t understand how someone could get by without planning out longer than a week. I could only do that when I was single and living on less than a third of my paycheck.
So, if you plan to liquidate those assets, and live well in retirement, grease up well and meet Mr “Ben Dova” the FairTax Chairman.
End of story.
The FED sets monetary policy, not fiscal/tax policy. Perhaps you don’t understand the difference.
The FED sets monetary policy, not fiscal/tax policy. Perhaps you don’t understand the difference.I thought the Fairtax would lower interest rates 25%...How, without the FED.
Besides every Fairtax economist tries to predict what the FED would do if the Fairtax was passed. They're all inter-related, you just don't understand how.
BTW, what about the transition for 50 states to start administering an unknown tax plan? What did you think they'll do, just turn their shirts inside-out and change their hats and badges?
My bad. You are right.
So someone at the lowest end of the economic scale may derive a small benefit more than they paid, especially if they are frugal and don’t buy anything new at retail?
And the rest of us can see the income tax and IRS go bye-bye?
I can live with that.
Then isn’t an annual tax refund just an annual stipend per your view?
And you’ve still refused to descibe the type and number of people who might actually ‘get over’ on the system.
Since a single person gets under $200 to offset the sales tax on essentials, I don’t see anyone really making out big on this.
IMO it can’t be any worse than what we have now but the FT is far less intrusive on the population.
Think of all the “good things” you have ever been ‘promised’ by the government...
Now, tell me how many of those things ever turned out as they planned...
Thought so.
Then why didn't you say that to begin with instead of resorting to calling people idiots and their questions "stupid".
I stopped beating my wife when she walked out of the computer room just now Why, have you stopped beating yours?
It's an invasion of privacy and inappropriate.
"instead of resorting to calling people idiots and their questions "stupid".
That's funny coming from one of the centers of personal invective here.
You'll note that I have never started the invective. The anti's are always the first to foment the ill will. But when we give it back, suddenly we are the guilty party. You hand lickers are very good at turning the tables.
But nobody's buying what you're selling anymore. We're too busy trying to avoid stepping in it.
The last time the Fed started a series of rate INCREASES intermediate and long term rates DECREASED. It's called the market setting rates.
Besides every Fairtax economist tries to predict what the FED would do if the Fairtax was passed. They're all inter-related, you just don't understand how.
Please list "every Fairtax economist" and his or her prediction on the Fed after HR 25.
Not sure I understand your point or if you have one and I certainly can’t read your mind...if you have one.
Regarding the Fair Tax, government certainly isn’t promising me anything since the current government opposes the FT.
Even criminals have the right to remain silent.
Why don’t law abiding citizens?
I wasn't aware that there was an annual guaranteed fixed refund, much less one that was paid regardless of how much or little the recipient had paid in taxes. Please send me details!
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