Home | Editorials | Letters to the Editor: The FairTax 101

Letters to the Editor: The FairTax 101

By
Font size: Decrease font Enlarge font

The FairTax (HR25), meant to replace the existing tax system, is real change. The current system employed by Washington is cumbersome, hard to understand, and impossibly unfair. The more people that learn about the FairTax, the closer we are to put into practice a new method of taxation to fund the current operation of the federal government. As citizens learn that the FairTax protects the poor from over taxation, is progressive toward the wealthy, raises revenue from the black market and foreign tourists, and is completely fair to all consumers of the American economy, the sooner we can get the politicians in DC to get on board to implement it.

The FairTax, a 23% inclusive national sales tax, is included on the price of everything bought at the retail level and replaces federal personal and corporate income and payroll taxes; it also replace the capital gains, dividend, and savings tax.

It does away with the corporate, estate, gift and the self-employment tax as well as the embedded taxes that are already included in the things we buy.

The FairTax protects the lower socio-economic class by employing the "Prebate."

Based on and calculated using the government’s published poverty level, the Prebate is a monthly payment from the federal government to every registered household to cover the tax spent on the necessities of living in the United States.

This means a family of four would get a payment of $351 a month to cover the amount of tax incurred.

The FairTax is progressive (liberals should love it) because the more you spend the more tax you pay. The wealthy spend a lot more than average working folks; they buy expensive cars and clothes, eat at high-priced restaurants, go on luxurious vacations and buy opulent houses.

They still get the Prebate payment from the government but since they spend so much more than we do, they pay more of the retail sales tax and a larger percentage of federal revenues.

Many people who live and work in America, but earn their income "under the table" or otherwise work outside the income tax system, do not contribute their share.

The FairTax collects a fair portion from these folks as well. All these consumers buy things at the retail level; all of them spend most of this unreported income.

Foreign visitors who spend a lot of money in America come here to spend without any obligation to the tax system. The FairTax will collect a share of the proceeds of what these visitors spend here.

The FairTax, fair to the poor, progressive toward the rich, makes even visitors and people who work in the black market pay their fair share, is a concept whose time has come. To learn more, go to www.FairTax.org where you can get all the information you need, then spread the word and contact Congressman Joe Barton and ask him to cosponsor the HR 25 bill in the next session of Congress.

Bill Carson

Midlothian


Subscribe to comments feed Comments (0 posted)

total: | displaying:

Post your comment

  • Bold
  • Italic
  • Underline
  • Quote

Please enter the code you see in the image:

Captcha

Log in

  • Email to a friend Email to a friend
  • Print version Print version
  • Plain text Plain text
Nelson Propane

Tagged as:

No tags for this article

Rate this article

0
Powered by Vivvo CMS v4.5.2