The Fair Tax

The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue neutrality, and, through companion legislation, the repeal of the 16th Amendment.

The FairTax Act (HR 25, S 1025) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.

The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.

What do I like about this proposal that will cost us 23% sales tax at the checkout counter?

1) Illegal aliens pay taxes on the benefits they enjoy - A disincentive to come here illegally.
2) Drug dealers and other criminals pay taxes just like me... Tax base expanded.
3) With no corporate taxes (that are now passed on to consumers), The U.S. becomes a most favorable place to manufacture products and start businesses... Aided by an increase in foreign investments.
4) I keep my entire (gross) paycheck and I'm taxed only on my purchases.
5) Tourists from France help fund the United States Government.
6) The poor are still exempt from taxation.
7) Congressmen of both Parties will no longer be in the business of rewarding friends and penalizing enemies.
8) No more impossibly complicated tax rules and laws.
9) Retail prices will fall dramatically because there will be no more hidden business taxes.

Got to Peter Heck's website and listen to the audio archives - 2nd and 3rd segments for 12/5/07... to hear more... Or go to www.fairtax.org to get more details.