October 31, 2012 9:34am
|People ... please forget and replace the income tax!
The income tax and the Internal Revenue Service have been “the law of the land” throughout the life of every American-born citizen working today. We, as Americans, haven’t lived under any other system. But, there is a much better way¬; it’s called the FairTax Act.
The FairTax proposal has been before the U.S. Congress for more than a decade. It’s never been voted on. Congress should bring the act before the American people and give it the national discussion it deserves and then adopt it.
Had the FairTax Act been adopted four years ago, Americans would not have suffered through the worst economic period since the Great Depression. However, both presidential candidates, though familiar with the FairTax Act, speak only of tweaking the existing income tax code. All incumbent congressmen, both representatives and senators, democrats and republicans, should know about the FairTax. But, only a few patriots among them have chosen to sponsor and/or support it.
Welfare of Americans is not very high on many congressmen’s priority lists. The income tax code was brought up-to-date through major changes in 1986. Within just the past 10 years, the tax code has been amended approximately 4,500 times. That’s many of our congressmen doing their supporters a favor, giving favored businesses an advantage and keeping the deep-pocketed lobbyists in a generous frame of mind.
Development of the FairTax Act involved over $22,000,000 in research.
If adopted, the FairTax would:
• Replace the income tax; every worker would receive the full amount they have earned and will notice an immediate raise of approximately 30 percent.
• Eliminate all taxes on American businesses, currently among the most heavily taxed in the world.
• Annihilate the IRS.
• Decrease the cost of American-made goods by approximately 22 percent.
• Protect the poor from any tax. Each month every American household would receive a “prebate” to cover the tax on expenditures up to the poverty level. (I know the rich don’t need a prebate but determining “who’s rich” is problematic and addressing this issue would be costly. Besides, it’s called The FairTax. Shouldn’t it treat everyone the same?)
• Increase the number of people supporting our government. Those who earn their money illegally and file no income tax return (think drug dealers, gamblers, thieves, those involved in prostitution, etc.) will now be paying their “fair share”; so will the former tax cheats. Tourists and illegal immigrants will also help fund our government.
• Make it advantageous to be in America legally.
• Usher in the greatest economic boom in American history. Economists estimate that in the first year after the FairTax becomes law, the economy will grow by approximately 10.5 %, exports will grow by 26 % and capital spending will increase by more than 70 %.
• Constitute the biggest transfer of power from the federal government to the people in the history of this republic.
The FairTax is fundamentally different from the income tax; it taxes consumption instead of income. If the FairTax collected the same amount as is currently collected by the income tax, the rate would be 23% and would be collected on all new goods and services. The FairTax would be included in the sales price and collected at the cash register at the point of sale.
If you have the opportunity, please vote for a candidate who supports the FairTax.