Change My Mind - Abolish IRS, Establish Fair Tax

Politics
35

Good idea

36

You haven’t studied the 2023 bill.

37

And considering that states are charging single-digit sales tax rates in most cases, getting an additional 2% is a huge windfall that should be enough to encourage them to participate.

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38

I don’t like this part.

Under the bill, family members who are lawful U.S. residents receive a monthly sales tax rebate (Family Consumption Allowance) based upon criteria related to family size and poverty guidelines.

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39

Rich people would pay more… they buy more.

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40

I reviewed it for specific provisions which have not changed. What I did not do was update my link to the 2023-24 version after it came on line. The current version, as did the 2022 version:

creates an entirely new tax, a 23 percent tax on articles of consumption, and on “taxable property”;

creates two new tax collecting agencies, an “Excise Tax Bureau” and the “Sales Tax Bureau", in addition to keeping the Bureau of Alcohol, Tobacco and Firearms alive, which will also be collecting taxes.

Imposes the new 23% “FairTax” on American citizens and businesses while Congress’ power to lay and collect taxes on “incomes” remains fully intact;

requires taxpayers to file Fair Tax returns twelve times a year;

requires ordinary working people to register with government in order to exercise a fundamental right of mankind . . . selling the property each has in their own labor;

requires ordinary people to become tax collectors for government;

requires taxpayers to keep whatever records Congress may dream up;

allows Congress to lay and collect countless “excise taxes” which members of Congress may dream up, and are calculated from profits, gains and other incomes;

and creates a new entitlement, the “Family Consumption Allowance” [a monthly government check sent to every “qualified family” in the U.S.] that would become another political partisan wedge-issue used during election time to buy votes.

So, tell me, why on earth would any freedom loving person support this rope-a-dope proposal which enlarges and strengthens the federal government’s iron taxing grip around the American people’s necks?

JWK

41

It’s a regressive tax.

People who, in the course of the year, spend all their income on living will be hit the hardest, and the people who spend tiny fractions of their total income on living will be paying a tiny fraction of their current tax liability - and that will require the % of tax charged to be hiked even higher, hurting the lower income earners more.

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42

If they were to do this I’d hope it’d be accompanied by a law that required that businesses posted prices be after taxes.

43

This is the “UBI like” provision I was talking about in the OP.

What don’t you like about it?

44

The truth is, as we all no, millions of working Americans pay virtually no federal taxes because their earnings are too low. I suppose that provision is trying to keep them from paying any taxes.

But to my mind, that just shows you that this isn’t the ‘simpler’ solution it’s billed as. Already getting complicated.

45

I can see them being cheap. Never being a true measure of what is owed. Politiions will make all kinds of promises how they will change it up or down.

46

Already answered HERE

It creates a new entitlement, the “Family Consumption Allowance” [a monthly government check sent to every “qualified family” in the U.S.] that would become another political partisan wedge-issue used during election time to buy votes.

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47

I understand that. But think there is a better way somehow because this will be abused by government and civilians

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48

No system that replaces income taxes with a higher sales tax will ever pass if it doesn’t include some sort of stipend for the poor and lower middle class.

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49

Let’s not forget we are comparing this new bill against are current system.

Are you suggesting the current system is better than the proposed?

50

It might but it would take a miracle to actually pass this legislature into law.

51

It’s definitely not a bill designed to actually pass the Senate. This is not much different than all those times the House passed a bill to abolish Obamacare.

3 Likes
52

Good point.

53

What is being proposed, the alleged FairTax, essentially enlarges the federal government’s taxing reach as explained HERE

What do you find attractive about the FairTax?

JWK

54

Yeah, that is a good point.

And the middle class loses too.