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How about no payroll taxes? How about bringing home your gross pay and not your net pay? The Fair Tax is a simple yet effective way to eliminate all federal payroll withholding taxes, eliminate all federal income taxes for individuals and corporations, and abolish estate and capital gains taxes for all. There is an enormous society of “cash” earners who do not pay into our system. How about the illegal aliens, they would pay. How about the drug dealers, they would pay. How about tourists, they would pay. How about the guy next door with the repair shop in his garage, he would pay. How about the girls cleaning your house or mowing your lawn. Do you think they are claiming this income? No way. Also, let’s address the loopholes out there for the higher income earners. They don’t pay, they just pay the CPAs to find ways around them. With The Fair Tax, we all pay the same. This would also mean no more filing on April 15th. No more IRS audits. No more hiding income. It’s fair. It’s logical. Do you think all this infusion of income would help the economy? You betcha!!
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January 29th, 2009 at 3:57 pm
I would welcome a fair tax. I enjoy paying my share to advance society. Unfortunately fairness has nothing to do with taxes. The uber-rich will always be able to hide wealth with limitless options of lawyers, accountants and world geography. The poor always feel this system favors the rich and they are unfairly treated. Democrats always pander to this for votes & feel the need to solve the problems of others as they are smarter than most. That always leaves the middle class to foot the bill. Problem is the middle class isn’t what it used to be. We now call the middle class the rich and the working poor the middle class. While a fair tax is ‘fair’, it would add another 2 million people to the unemployment line. Until mankind can come to terms with greed and arrogance, things (including taxes) will never be fair. Our best ally is politics and mediocracy which favor compromise of the extremes and centrism in policy. Our legal system complicates all because we opt for nuances rather than fundamental ideals. Great idea on fair taxes, just too many opinions and self-interests out there to ever further a simple solution to a complex issue.
February 3rd, 2009 at 11:54 am
I mistakenly hit the first light bulb. Please change my vote for the Fair Tax to 5! Thanks.
March 1st, 2009 at 5:55 pm
So how would we as a nation pay for schools, police, health care for the indigent, child protexction, etc.? Maybe you could pay a set rate the same as everyone else, but I sure can’t. I am low income, virtually no income at all, so it doesn’t make sense for me to pay the same as you (I smell a Libertarian here,no?). This is what we have always called a regressive tax and regress is exactly what we wuld do. Wake up and take responsibility for your share of our national responsibilities.
April 8th, 2009 at 6:48 am
Everything has to be in moderation. Getting rid of individual income taxes would reverse our top down financial flow in this country. So much of our current structure is based upon the federal government receiving money then creating a budget and appropriating funds.
Our fundamental problems:
1. Washington needs to adopt and market an attitude that the nation will get theirs first. So many politically affiliated/connected figures make sure they, and their supporters, get their piece of the pie first.
2. Top down financial flow is not ideal for the whole of the country, but can not be abandonded. So much of our system is reliant on government “guidance” to help maintenence the gears of the country.
That is why we go for moderation. Bring some power back to the states. Cut our payroll taxes, allow states to raise sales taxes except for generic non-essential goods (eg. eggs, milk, bread, mattresses, low-end clothes) by the net amount saved on the payroll cut. Subsuquently pass through a legislation that promotes employers to offer retirement plans. Create insentives to pick up retirement plans by matching a percentage of the Future Value of the social security paid-in to social security funds. Then bundle social security payments with financial institutions that hold the retirement accounts when distributed to the retired individual.
This will effectively:
a) keep the black market in check
b) force individuals to think about their financial futures more thouroughly
c) increase current financial responsility
d) main street will have a greater stake in the capital markets (USA…brand loyalty baby)
e) allow the states to collect cash more directly and reduce the body of the federal government
May 1st, 2009 at 9:45 pm
I used to be a Fair Tax prononent as well. It has one major flaw: sales taxes are stealth taxes. When you are taxed in small increments that are hidden along with the cost of goods, which varies due to market circumstances, you are less likely to feel the impact of that taxation or realize the adjustments made by the government. This will prove a serious hurdle to anyone who believes in limited government and reduced spending, because taxpayers do not feel and react to stealth taxes as easily.
Instead, I now support removal of automatic withholding (ends stealth) and simplification of the tax code to a flat individual income tax rate (fairness, avoids double taxation, reduces complexity). When everyone pays the same rate, it will be hard to argue that the tax rate is favorable to anyone. When corporate income and federal sales taxes are eliminated, your money will only be taxed once. By eliminating automatic withholding, everyone will feel the impact of federal taxation, which will prove the value of limited government to all Americans.
June 25th, 2009 at 1:16 pm
All you say about the “Fair Tax” is true. An additional result of passing HR-25 is that it creates an environment in this country that favors business. This allows $13 trillion in US assets currently held off shore to come home as “The Ultimate Stimulus” to our economy. And it uses no tax dollars.
With $75 trillion in social security obligations to just those citizens currently working and retired we need to groe the economy if we are ever to meet those obligations. And that’s just one entitlement. What about all the other entitlements and bailouts future tax payers are becoming obligated to.
HR-25 (The Fair Tax) goes a long way quickly towards growing our economy.
It begins to reward people for their succes rather than punishing them as our current federal tax system does under the IRS.