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I really don't think so -- private enterprise is designed to make money. They would do what they do best and make money -- charge the same thing without having to pay those pesky income taxes. Meanwhile the middle class would become the poor class.
The middle class ONLY exists because of government intervention in the economy. Pure capitalism = rich people and poor people.
I really don't think so -- private enterprise is designed to make money. They would do what they do best and make money -- charge the same thing without having to pay those pesky income taxes. Meanwhile the middle class would become the poor class.
The middle class ONLY exists because of government intervention in the economy. Pure capitalism = rich people and poor people.
the fair tax is repealing the 16th amendment and all other taxes and instituting a 23% sales tax to cover everything but basic necessities.
Close...
The Fair Taxâ„¢ plan repeals the 16th amendment. It removes only five taxes - the income tax, the payroll taxes, the corporate income tax and the Estate tax, but not other taxes like the gas tax.
The Fair Taxâ„¢ plan institutes a sales tax on all new goods and all services consumed within the United States - including food and medicine; it specifically excludes used items like multi-million dollar mansions and used Bently automobiles. It does not tax corporations for the perks provided to its executives, like use of company cars, jets, condos, club memberships, etc. And it of course can't tax money removed from the United States to purchase items and services enjoyed outside of the United States, like Carribean condos or foreign-flagged luxury yachts or extravagant parties in Bangkok.
The Fair Taxâ„¢ plan sets the tax rate initially at 23% inclusive or 30% exclusive. In other words, something that costs $100 today would cost $130 under the new plan. And that 23% rate was computed in 2005. It doesn't take into account the current economic environment.
While corporations and businesses would be exempt from the Fair Taxâ„¢, federal, state and local governments would have to pay this tax when purchasing new goods and all services. This would increase the federal budget. Additionally, as state and local governments are usually not allowed to run deficits, they would be required to either raise taxes or cut other parts of the budget to cover the increased expense of paying the new tax.
The Fair Taxâ„¢ plan claims to be revenue neutral, at least for 2005. However, independent studies performed in 2008 have shown that the rate would need to be 40% in order to be revenue neutral. The plan's own authors concede that the tax rate will need to be continually adjusted to allow for changes in consumer demand.
The Fair Taxâ„¢ plan allows for a monthly tax pre-bate that is computed to be the 23% tax paid on goods and services up to the poverty level. Everyone gets this monthly pre-bate - an individual gets about $2300 a year while a household with 8 members gets about $8000 or so. That makes it the largest entitlement program ever run by the federal government. And this pre-bate rate may or may not vary with changes in the tax rate.
The bottom line on the Fair Taxâ„¢ plan is that it will drastically lower taxes for those with more disposable income while raising taxes for those with less disposable income, except for those at or below the poverty line who will see their taxes remain the same.
If you think that the wealthy should pay far less in taxes and the middle class should pay a lot more in taxes, then you'll like the Fair Taxâ„¢.
Fair tax is when corporations can make you pay their taxes while you buy into the appeal of the term "fair" and go singing about it.
Whats the matter, you have a problem with a business spreading it's overhead equally across it's product, so all of it's customers pay the same? That's as fair as it gets Einstein.
Or do you think they should they just make the "rich" pay more for their widgets? Now that sounds like the gov plan doesn't it?
Don't forget, you can always opt out by not purchasing.
Try opting out on your taxes and get back to us on how that worked.
Whats the matter, you have a problem with a business spreading it's overhead equally across it's product, so all of it's customers pay the same? That's as fair as it gets Einstein.
Businesses would love the idea of people paying all their taxes. Yes, that would be fair to them.
Businesses would love the idea of people paying all their taxes. Yes, that would be fair to them.
Other than their customers,who else should pay the overhead of a business?
Or do you prefer bailouts, stimulus and subsidies using the tax dollars of the people?
Other than their customers,who else should pay the overhead of a business?
The business?
Quote:
Or do you prefer bailouts, stimulus and subsidies using the tax dollars of the people?
Fair tax would be an extension of corporate welfare already in place.
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