Posted on 04/17/2012 5:28:08 AM PDT by Kaslin
I MEANT SHOULD NOT BE TAXES ON THEIR SUCCESS. Stupid mistake and I know I’ll get flamed for it.
This straw man “dustup” between “tax inclusive” and “tax exclusive” arose many years ago when the legislation was first introduced. It has been put to rest, except among those who refuse to understand economic language and concepts.
Here is what the FairTax web site FAQ has to say about it at
http://www.fairtax.org/site/PageServer?pagename=FAQs :
“I know the FairTax rate is 23 percent when compared to current income taxes. What will the rate of the sales tax be at the retail counter?
“30 percent. This issue is often confusing, so we explain more here.
“When income tax rates are quoted, economists call that a tax-inclusive quote: “I paid 23 percent last year.” For every $100 earned, $23 went to Uncle Sam. Or, “I had to make $130 to have $100 to spend.” That’s a 23-percent tax-inclusive rate.
“We choose to compare the FairTax to income taxes, quoting the rate the same way, because the FairTax replaces such taxes. That rate is 23 percent.
“Sales taxes, on the other hand, are generally quoted tax exclusive: “I bought a $77 shirt and had to pay that same $23 in sales tax.” This is a 30-percent sales tax. Or, “I spent a dollar, 77¢ for the product and 23¢ in tax.” This rate, when programmed into a point-of-purchase terminal, is 30 percent.
“Note that no matter which way it is quoted, the amount of tax is the same. Under an income tax rate of 23 percent, you have to earn $130 to spend $100.
“Spend that same $100 under a sales tax, you pay that same tax of $30, and the rate is quoted as 30 percent.
“Perhaps the biggest difference between the two is that under the income tax, controlling the amount of tax you pay is a complex nightmare. Under the FairTax, you may simply choose not to spend, or to spend less.”
By the way, the only FairTax idiots I know are those who reflexively reject the FairTax, without studying it. Or ask stupid questions or make dumb statements or make asinine accusations without studying it.
The issue is FReedom, Mr. K, FREEDOM!
We will never be a truly FRee people so long as we have an income tax and an IRS!
You are wrong, it is uniform.Thanks for the link, it exposes your lie.
Family of 4: One adult (single mom?) + 3 children - $5,302 annual
Family of 4: a couple (of what?)+ 2 children - $6960.00 annual
Since 1 adult plus 3 children or a couple plus 2 children is too much math for you I wouldn't expect you to be able to figure that that's a $1658.00 annual penalty for a single mom with 3 kids.
It taxes the purchaser! You need a basic refresher on the Fair Tax.Nope, sounds like you need an education on the Fairtax, not a refresher.
The law states the rate is 23% of the gross payments received.
Do purchasers receive payments?
There's nothing anywhere in the law about what the tax rate is for the consumer/purchaser...only the business.
Good grief, we really are retarded aren’t we?
The uniformity is by INDIVIDUAL and not by FAMILY!
“Even if folks have an accountant, and by now an estimated 80 percent of us use a tax preparer, or at least some software, to figure out how much we owe, it’s still a wearing process.”
The accountants use software to tackle the damn tax code too.
When your tax return is close to 9 lbs and you have to ship it in a box it is time for REFORM!
“It’s like asking a drug addict to give his stash to somebody else.
The tax code is the structural rot of our republic. Lobbyists of all stripes pay big-time to ensure it’s jiggered in their benefit.
The politicians aren’t about to kill their golden goose.”
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You are exactly right on all counts UNTIL WE the people take control of the politicians we will continue to suffer!
We will never again be a truly FREE people for so long as we continue to abide the Marxist inspired income tax and the IRS!
It also says that if you make RETAIL sales of NEW goods or services you are REQUIRED to collect the tax from the purchaser on every sale but I guess you ignored that part didn't you Louie!
The business is just a conduit and that is true whether or not the fairtax is in place!
For the benefit of someone else who may be reading this (not you Louie because I KNOW already that you are to stupid to ever understand it), A business has but ONE source of revenue and that is it's sales receipts. That being the case, EVERYTHING the business pays must, of necessity, come from that source! If you tax a business the tax can accrue to any one, or any possible combination of, only three places.
1. The tax is added into the final sales price of the good or service produced and passed on to the consumer hidden in price.
2. The tax reduces the wages and fringe benefits of the worker involved in the production process.
3. The tax reduces the R(eturn) O(n) I(nvestment) to the stockholders of the business.
There is literally no place else for them to accrue and in all cases they fall on individuals and NOT the business!
I'd go with the Steve Forbes no-loophole 17% flat-rate plan NOW and start a 2-3 year transition that at the end of the transition, we repeal the 16th Amendment and replace the income tax with FairTax.
bump and bookmark
bump and bookmark
The tax code is a weapon against the citizens.
Good grief, we really are retarded aren’t we?Were you saying something about retarded liar?The uniformity is by INDIVIDUAL and not by FAMILY!
It's a "FAMILY CONSUMPTION ALLOWANCE" and each "FAMILY" has 4 "INDIVIDUALS" dimwit.
The UNIFORM monthly rebate is applied to each adult and to each child as follows:
Adult 214
Child 76
http://www.fairtax.org/PDF/PrebateExplained2012.pdf
The above amounts are added for each adult and each child in the family.
The Rebate amounts are UNIFORMLY APPLIED to individuals and if individuals form a household then the uniform rebates are simply added.
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