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To: pnh102
retail sales tax proposals, will finally nail the half of all households which pay 0 in federal taxes!

Yes, that's nice. But will it "nail" wisely?

Sales tax will constitute a larger proportion of a poor man's income than of a wealthy one's. Is that fair, reasonable, wise in your opinion?

42 posted on 03/17/2011 8:23:42 AM PDT by TopQuark
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To: TopQuark
Sales tax will constitute a larger proportion of a poor man's income than of a wealthy one's. Is that fair, reasonable, wise in your opinion?

That's where I differ on how the FairTax handles such a thing. Many states which impose retail sales taxes exempt things like unprepared food, clothing, medicines, and services which are considered life critical. The FairTax gives each household a "prebate" which covers the costs of these taxes for everyone. I believe the prebate is unworkable given that our government can't really do anything right, so I prefer this approach instead. The approach of exempting certain items from the tax also prevents the government from stealing your prebate just in case you decide you do not want to buy the health insurance that it thinks you should buy.

But for people who can afford to pay for things like $200 Nikes, the latest and greatest Smartphones, cable TV, broadband Internet, and other such luxuries, but who otherwise do not pay federal tax, they can afford to pay something towards the cost of government.

45 posted on 03/17/2011 8:46:45 AM PDT by pnh102 (Regarding liberalism, always attribute to malice what you think can be explained by stupidity. - Me)
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