The Fair Tax is fair, cost effective, unfavorable to politicians.
I heard on Fox last night that if we install the fair tax then the wealthy would be paying the same tax as regular folks. This may not be true! I drive a modest car and live in a modest home. The Wealthy folks buy more expensive cars and live a bit higher on the cotton, therefore they will be paying more in taxes.
Also be aware that since it is a consumption tax, all people, including bank robbers, prostitutes, and drug dealer, who currently bypass the tax system, will be paying taxes on any item purchased.
The real plus is that politicians would no longer be able to manipulate the tax code to buy votes. If we utilize the current state sales tax system (all but 7 states have one) and the state pays the federal Government its share, that collection cost savings would be immense.
Also be aware that since it is a consumption tax, all people, including bank robbers, prostitutes, and drug dealer, who currently bypass the tax system, will be paying taxes on any item purchased.
The real plus is that politicians would no longer be able to manipulate the tax code to buy votes. If we utilize the current state sales tax system (all but 7 states have one) and the state pays the federal Government its share, that collection cost savings would be immense.
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