The FairTax is an idea whose time has come. For too long, the federal government has taken advantage of the apathy of America in regards to the gross abuse of our federal tax system. There is a reason that our original draft of the Constitution leaves no avenue for the government to tax our income. IT'S UNAMERICAN and our founding fathers knew that! It took and amendment to the constitution in 1913 to make it legal and it's been downhill ever since. If you actually sit back and do the math, it's infuriating how much is stolen from our paychecks each year.
The fairtax replaces all federal income taxes with a 23% national retail sales tax on all new goods and services. Although the details can be quite complex, the principle is really quite simple. You go home with 100% of what you earn! For most Americans, this would be about a 30% increase in spendable income. The flip side is that you would pay a 23% tax on pretty much everything you buy. Sounds scary, but if you do the math, it's not. One of the great parts of the FairTax plan is what's called a prebate. Each month the head of household receives a check from the government equal to the tax that would be paid on the necessities of life (as predetermined based on family size). So your groceries, utilities, etc. would essentially be untaxed. The best part of the plan is that it allows the individual taxpayer to choose the amount of taxes he will pay based on what he chooses to spend. Notice I reference the word choice...not something you hear when discussing a government program. One FAQ associated with the fairtax is "will there be enough revenue to run the government with this program?". Think for a minute how many illegal aliens are in this country, not paying taxes. With the FairTax - EVERYONE PAYS! If you buy anything at all in the public arena in this country, you pay taxes. Even the government pays taxes anytime they buy something! We're talking billions in additional untapped revenue. Imagine with the IRS gone, there's no more reason for companies to move overseas to escape the burden of our tax system. Suddenly America becomes THE tax haven. There are many more facets of this plan that can be found in the book written by Congressman John Lindner and radio talk show host Neal Boortz. It's a quick read and makes this plan very simple to understand and get behind. I highly recommend it.
The fairtax replaces all federal income taxes with a 23% national retail sales tax on all new goods and services. Although the details can be quite complex, the principle is really quite simple. You go home with 100% of what you earn! For most Americans, this would be about a 30% increase in spendable income. The flip side is that you would pay a 23% tax on pretty much everything you buy. Sounds scary, but if you do the math, it's not. One of the great parts of the FairTax plan is what's called a prebate. Each month the head of household receives a check from the government equal to the tax that would be paid on the necessities of life (as predetermined based on family size). So your groceries, utilities, etc. would essentially be untaxed. The best part of the plan is that it allows the individual taxpayer to choose the amount of taxes he will pay based on what he chooses to spend. Notice I reference the word choice...not something you hear when discussing a government program. One FAQ associated with the fairtax is "will there be enough revenue to run the government with this program?". Think for a minute how many illegal aliens are in this country, not paying taxes. With the FairTax - EVERYONE PAYS! If you buy anything at all in the public arena in this country, you pay taxes. Even the government pays taxes anytime they buy something! We're talking billions in additional untapped revenue. Imagine with the IRS gone, there's no more reason for companies to move overseas to escape the burden of our tax system. Suddenly America becomes THE tax haven. There are many more facets of this plan that can be found in the book written by Congressman John Lindner and radio talk show host Neal Boortz. It's a quick read and makes this plan very simple to understand and get behind. I highly recommend it.
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