A lot has been said about President Obama’s proposed legislation on how to get the United States economy moving again. The President and I do not see eye-to-eye on his plan for economic recovery. While the President plans further government spending and tax revenue increases I propose a shift to hand Americans back their hard-earned money. The solution is simple and it’s called the Fair Tax.
The Fair Tax would remove the entire tax structure as we know it. Nothing has brought more government interference into our lives than the progressive income tax (twice ruled unconstitutional) and the Internal Revenue Service. I say remove the taxes that take money away from our paychecks before we even see it, remove capital gains taxes, and taxes on repatriated profits along with most other taxes and replace them with a consumption or sales tax.
Under the Fair Tax there would be no more gross and net pay; just net pay. Instead of looking to see how much the government has taken out of your paycheck you would just get your paycheck. You would, for the first time in your life, be getting paid for literally every minute you worked. What a novel idea!
The price of everything you purchase is about 23% more expensive because of the current government tax structure. In order to keep the government at its current revenue intake the national consumption or sales tax would be 23%. This would replace the entire burdensome IRS and tax structure and replace it with a single sales tax. No more loopholes, no more favoritism in the tax code, and no more pain every April 15th.
With an end to outright corporate taxes our business environment would grow by leaps and bounds as the United States government would have one of the most fair business climates in the world. With fair business climates brings more jobs. With a lower tax burden a company can afford to give more jobs and charge less for their products. Sounds like a recovery to me.
The Fair Tax provides monthly rebate checks for all essential purchases like food so the money you spend that will be taxed will be on other expenditures. The whole idea of the Fair Tax is to no longer punish individuals for achieving and getting gainful employment. It will instead tax expenditures of that income. It’s a tax based on what you purchase not what you’ve made. If you would like more information about the Fair tax visit www.fairtax.org.
