I have heard about this but it seems people that make good money are the ones for it. You would be taxed on things you buy?
I have heard about this but it seems people that make good money are the ones for it. You would be taxed on things you buy?
I have heard about this but it seems people that make good money are the ones for it. You would be taxed on things you buy?
I'm in. But how could that possibly make it through our congress. They can't agree on anything.23% national sales tax
no income tax
no payroll taxes
I'm in. But how could that possibly make it through our congress. They can't agree on anything.
In one way it's fair but in another way it's regressive. Even though everyone will pay the same, the poor will pay a higher percentage of their income. If I remember correctly Fairtax addresses this by giving a rebate of some kind to people below a certain income level, but the middle class will still get screwed while the wealthy make out like bandits.23% national sales tax
no income tax
no payroll taxes
Half? I don't think there is a 50% tax bracket but I know what your trying to say. Your friends need to find some loop holes (tax write offs).
In one way it's fair but in another way it's regressive. Even though everyone will pay the same, the poor will pay a higher percentage of their income. If I remember correctly Fairtax addresses this by giving a rebate of some kind to people below a certain income level, but the middle class will still get screwed while the wealthy make out like bandits.
steelEveryone needs to read the book. The poor will not pay a higher percentage of their income. Every family will receive a prebate based on the cost of neccesaties of life. This prebate is based on the poverty level of income.
you live in a dream world.Think of all the guys cutting grass, working on homes, etc for cash under the table. They now have to pay taxes on everything they buy. More revenue that has never been collected. think of the people that visit this country on vacation. They now have to pay taxes on goods. It is a win -win.
Only those living below the poverty line will get a "prebate". You and I will not, we will pay a 23% tax on our food, clothing, and other essential items just the same as Warren Buffet, the difference being that that 23% tax will represent a much higher percentage of our income than it does of his. That's why I said it was regressive. If you're currently a millionaire in a high tax bracket with a lot of capital gains, the Fairtax is a wonderful idea because it represents a massive tax cut for you. If you're a middle class guy with a mortgage and a car payment and a 401k, it's probably gonna be six of one a half dozen of the other compared to the current system.Everyone needs to read the book. The poor will not pay a higher percentage of their income. Every family will receive a prebate based on the cost of neccesaties of life. This prebate is based on the poverty level of income.
The basic concept is not that items that cost $100.00 now will have a 23% tax. We now pay what is called inbedded taxes for all products. These are the taxes that are paid to make products. Companies will no longer have payroll taxes. This will drive the cost of a $100.00 pair of tennis shoes down to about $82.00 because it no longer takes as much to make the $100.00 pair of tennis shoes. You may now pay a little over $100.00 for the shoes, but you bring home your entire paycheck.
How can this not be a great idea? Think of all the guys cutting grass, working on homes, etc for cash under the table. They now have to pay taxes on everything they buy. More revenue that has never been collected. think of the people that visit this country on vacation. They now have to pay taxes on goods. It is a win -win.
what about someone that is not quite low enough for poverty, but has 6 kids mouths to feed.If you're currently a millionaire in a high tax bracket with a lot of capital gains, the Fairtax is a wonderful idea because it represents a massive tax cut for you. If you're a middle class guy with a mortgage and a car payment and a 401k, it's probably gonna be six of one a half dozen of the other compared to the current system.
I agree. Basically it favors those who can save and invest, because that money wont be taxed. If you live paycheck to paycheck spending all your income on housing and feeding your family, you will pay a 23% tax on every dollar you earn.what about someone that is not quite low enough for poverty, but has 6 kids mouths to feed.
the poverty line is an interesting line. only when you try to actually find it do you realize what all is involved in saying someone lives below the poverty level.
and again, it leaves our non elected officials to make that determination.
d