Highly unlikely that the FairTax would pass with the present population in the US Senate and BH Obama as president … But this IS a congressional election year and there is enough on Obama administration for impeachment proceedings, just the Benghazi tragedy would do it.
It’s tax season. The yearly nightmare of trying to figure out the system and how to deal with the paperwork. Tax preparers, like parasitic vultures, are ready to charge you for preparing something no one should have to do.
The original sponsor of the FairTax in 1999 was the former representative of Congress from Georgia, John Linder, who up to the end of his time in Congress constantly tried to get the FairTax bill through Congress. He no longer is a member of Congress, but his crusade still goes on, as an article he wrote for Townhall.com demonstrates. It is probably the most extensively researched bill ever introduced to Congress in decades. Mr. Linder ensured that he got input from leading economists and co-authored two books about it. It has become widely supported, at least by the People – but still languishes in Congress. The main culprit in this legislative quagmire [a term that Democrats gave for the Vietnam War they initiated] is the business-as-usual, progressive-RINO US Senate. The bill would revolutionize the way government is funded that has been going on for 100 years, increasingly getting worse for taxpayers.
As John Linder wrote:
The FairTax repeals all taxes on income: no more income taxes, payroll taxes, capital gains or death taxes. If you make $52,000 a year your weekly check will be $1,000. Since the average income tax today is 15% and the employee’s portion of the payroll tax is 7.65%, the average take-home pay will increase by 29%. The tax on income will be replaced by a tax on the purchase of new goods and services. The rate will be 23% of what you pay for at the check out counter. That is not 23% on top of the marked price, but 23% included in the price. If the item you buy is priced at $100, the merchant will keep $77 and send $23 to the government.
There has been some confusion about this method of calculation since states calculate their sales tax as a tax on top of what you buy. However, since we are replacing a tax that is calculated “inclusive” of what you earn rather than on top of what you earn we concluded that to use an “inclusive” rate would be more honest. Both the state and the retailer would be paid for collecting the tax. To lessen the burden on those who spend all of their income on necessities, we untax necessities by providing a cash distribution to every family, based on the size of the family. [like some states do not charge sales tax for food purchases] …
To receive the prebate, each family will provide the name, birth date, address and Social Security number of each member of the family just as is done today with Food Stamp applications. That data will be crosschecked against Social Security records to ensure accuracy before an electronic transfer is made. A study by Dr. David Tuerck, Chairman of the Economics Department and Executive Director of the Beacon Hill Institute at Suffolk University in Boston, concludes that the FairTax-generated revenues would have exceeded actual revenues by $171 billion in 2009 and $267 billion in 2010. Repealing the code and abolishing the IRS will end the abuses that we have all become familiar with. That agency is out of control and cannot be “fixed.”
Repeal the 16th Amendment, which according to Supreme Court decision of 1911 it should not have passed or ratified. Coincident that 16th Amendment and Federal Reserve came about same time period? Replace income tax with consumption tax – what the founders had in mind for the tax system. It is time that “business-as-usual” politics ends in Washington DC and state governments.