User Tag List

Informational! Informational!:  0
Likes Likes:  0
Page 1 of 4 1234 LastLast
Results 1 to 8 of 27

Thread: Fair tax

  1. #1
    Cardiac Nurse JB_OrchidGuy's Avatar
    Join Date
    Apr 2005
    Location
    SC
    Posts
    3,818
    Mentioned
    2 Post(s)
    Tagged
    0 Thread(s)
    Are you for it or against it?? And why??

    For those who do not know much about it yet. It is a tax that is being proposed to ELIMINATE federal income tax deductions from your paychecks, AND from businesses haveing to pay the Fica taxxes and all other taxxes. They will only pay taxxes when they buy retail goods. Best of all it would eliminate the need for our complicated Tax code and the IRS.

    OK it will eliminate the 16th amendment that gives government the right to deduct taxxes.

    The government will not take any income tax out or your paycheck or Social security or medicare taxxes.

    Business people will no longer pay any taxxes for their employees.

    By doing this the government figures the price of goods will drop on average of 22% due to that being the tax passdown to the consumer by the corperations.

    Then the government will impliment a 23% tax that will already be incorperated into the price of good by the corperations. If something costs $100 it already has the governments cut already there.

    EVERY head of household will recieve a check figured to the size of your household to cover the taxxes on nessisary goods up untill the poverty line. Its called a prebate and I do not have the figures in front of me at the moment.

    So everyone will recieve all the money you make with the exception of state taxxes,a nd the figure this will cause the state governments to follow the feds too.

    The tax will ONLY be applied to NEW items and services. Since they figure a 22% drop from taxxes off of goods then you add the 23 % the prices of good will generaly be left unchanged, but all your money will be comeing to you. The tax will not affect used goods and will only be applied to good sold on the retail level. Good will only ever be taxxed ONCE. Used homes will not have the taxxes. Used cars anything used will not be expected to pay the taxxes.

    If you have any questions I can try to answer them or you can read the Fair tax book or go to www.fairtax.org.

    If you agree then sign the petition at that website to show your support for the fair tax.
    JB
    Friend me on facebook with JB_orchidguy@yahoo.com.
    Growlist Updated 05/08/13

  2. #2
    endparenthesis's Avatar
    Join Date
    Jun 2004
    Location
    Northern VA
    Posts
    1,262
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    For it. Over 3 years and $22 million of research has been put into it (by researchers at MIT, Harvard, Stanford, and more). It's one of the most thought-out proposals ever introduced to Congress. If the poor are really smart about it, they can actually make a yearly profit from the rebate. The book written about Fair Tax was also on the top of the New York Times Best Seller list for weeks, so obviously people are interested. It demonstrates how much money the government can gather when it just eliminates a massive amount of waste. It just makes sense (which is why it will probably never happen... please surprise me, Congress).

    http://www.fairtax.org/

  3. #3
    scottychaos's Avatar
    Join Date
    Aug 2001
    Location
    Western New York, USA
    Posts
    2,970
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    wow..it sounds good!
    and im for it if it will work as advertised..

    just one question..what will make prices drop by 22%?
    and how we do know they will?

    Scot

  4. #4
    endparenthesis's Avatar
    Join Date
    Jun 2004
    Location
    Northern VA
    Posts
    1,262
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)

  5. #5
    Capslock's Avatar
    Join Date
    May 2003
    Location
    San Francisco, CA
    Posts
    3,088
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    I haven't read enough, but I think I would be against this. It's regressive in that it is yet another transfer of wealth to the ultra-rich.

    Yes, the prebate covers goods up to the poverty line, but the middle class spends a LOT, percentage-wise, on retail goods. The ultra-rich spends very little, percentage-wise.

    In principle, I'm all for a simpler tax code. But people can buy directly from overseas, and do other things to "cheat", and so some sort of IRS will still be necessary. Corporations still have to pay taxes on the retail goods they sell, so enforcement is still necessary. It would seem, also, to turn into a revenue loser, since people will be able to avoid paying tax by avoiding retail goods. Our economy is fueled by people buying things they don't really need, and I think psychologically people would be encouraged not to spend, and the market for used goods will face inflation.

    It would be nice to see it tested in a local area to see what the real results are. The gulf between rich and poor has grown substantially over the past couple decades, and we don't want to do anything that pushes this further.

    Capslock
    Malo Periculosam Libertatem Quam Quietum Servitium

    My photos are copyright-free and public domain

  6. #6
    endparenthesis's Avatar
    Join Date
    Jun 2004
    Location
    Northern VA
    Posts
    1,262
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    The FAQ gives their feedback on those concerns...

    Progressive vs. Regressive - Question #48

    How much the rich spend vs. the poor - #12-15 (and others)

    How much the actual face value of retail goods changes (barely at all) - #17, 24, 27, 47 and others

    Buying from overseas - #32

    The potential for tax evasion vs. the current system - #33

    Where systems in the same vein have been successful already - #35

    The money isn't really made up by significantly adding to the price of goods. Much of it is made up by eliminating a massive amount of waste... recovering money that goes down the toilet in just keeping the current bloated system functional (#20, 33, 44).

  7. #7
    Capslock's Avatar
    Join Date
    May 2003
    Location
    San Francisco, CA
    Posts
    3,088
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    Hey,
    Don't have much time right now, but at least in response to the question of Progressive vs. Regressive, the answer is less than satisfying.

    It is based on actual expenditure on retail goods. Obviously , the more you buy, the more the prebate is rendered moot and the higher the percentate OF EXPENDITURES ON RETAIL GOODS the rich pay. But, the rich don't spend much of their money on retail goods. They invest it in stocks, and get pre-tax appreciation so that generations to follow never lose the wealth. The middle class, by contrast, spends a great deal of their income on retail goods, and still goes past their prebate. These are the people, under this scenario, that are passing their wealth on to the rich. The poor pay very little tax under either this system or the current system.

    Also, by this system, the upper middle class family with $200,000 in income pays substantively the same as the CEO who makes $100 million. This isn't fair or progressive.

    Capslock <-- would benefit greatly by the "fair tax" system, but doesn't think it's fair or truly progressive.
    Malo Periculosam Libertatem Quam Quietum Servitium

    My photos are copyright-free and public domain

  8. #8
    herenorthere's Avatar
    Join Date
    Feb 2003
    Location
    almost Hartford
    Posts
    3,785
    Mentioned
    0 Post(s)
    Tagged
    0 Thread(s)
    Oh sure, the people who've ponied up the millions of $ to push this have the interests of the poor at heart.

    It's absolute crap and it has two purposes - to allow the rich to keep even more of their money and to cripple government. But not the really scary parts of government. Don't be a fool.
    Bruce in CT

    Madness is something rare in individuals but in groups, parties, peoples, ages it is the rule. Friedrich Nietzsche

Page 1 of 4 1234 LastLast

Tags for this Thread

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •