Interesting bit sent to people organizing to pass FairTax legislation:
WE ARE OFFENDED THAT:
• It has been reported (by World Net Daily) that President Bush made an agreement with the heads of Canada and Mexico in 2005 to implement an EU-type superstate (a North American Union) with it’s own currency, it’s own militia, and it’s own super court that, in some instances, will have authority over our own supreme court, without a proper treaty, and that workgroups continue toward that end without Congressional oversight or approval!
• Even though the Constitution states that “Expenditures of ALL public Money must be published…” (Art. I, Section 9, para. 7), some items are declared ” off budget” (such as Post Office and Social Security) to obscure the true cost of government.
• The Supreme Court uses precedent, rather than the Constitution, in their decision making.
• The 1960 Supreme Court ruled in Nestor Vs. Flemming that, after having our money forcibly confiscated from us and put into a non-existent trust fund, we have no legal right to that money. (Future Congresses are not bound to the decisions of a prior Congress.)
• The politicians are spending us into oblivion and lying about it (the accumulated debt is not the advertised $8.8 trillion, but estimated by David Walker, head of GAO, to be over 50 trillion (throw in contingent liabilities and it may be as high as 80 trillion).
When I wore a little brown suit delivering little brown packages for a big brown company, I always delivered those packages with a sense of urgency. I approach the passage of the Fair Tax with that same sense of urgency, and appreciate your sense of urgency as well.
Here is why the FairTax will make a good U.S. tax system REPLACEMENT. The FairTax is:
• SIMPLE, easy to understand
• EFFICIENT, inexpensive to comply with and doesn’t cause less-than-optimal business decisions for tax minimization purposes
• FAIR, loophole free and everyone pays their share
• LOW TAX RATE, achieved by broad base with no exclusions
• PREDICTABLE, doesn’t change, so financial planning is possible
• UNINTRUSIVE, doesn’t intrude into our personal affairs or limit our liberty
• VISIBLE, not hidden from the public in tax-inflated prices or otherwise
• PRODUCTIVE, rewards, rather than penalizes, work and productivity
Its benefits are as follows:
FOR INDIVIDUALS:
• No more tax on income – make as much as you wish
• You receive your full paycheck – no more deductions
• You pay the tax when you buy “at retail” – not “used”
• No more double taxation (e.g. like on current Capital Gains)
• Reduction of “pre-FairTaxed” retail prices by 20%-30%
• Adding back 29.9% FairTax maintains current price levels
• FairTax would constitute 23% portion of new prices
• Every household receives a monthly check, or “pre-bate”
• “Prebate” is “advance payback” for monthly consumption to poverty level
• FairTax’s “prebate” ensures progressivity, poverty protection
• Finally, citizens are knowledgeable of what their tax IS
• Elimination of “parasitic” Income Tax industry
• NO MORE IRS. NO MORE FILING OF TAX RETURNS by individuals
• Those possessing illicit forms of income will ALSO pay the FairTax
• Households have more disposable income to purchase goods
• Savings is bolstered with reduction of interest rates
FOR BUSINESSES:
• Corporate income and payroll taxes revoked under FairTax
• Business compensated for collecting tax at “cash register”
• No more tax-related lawyers, lobbyists on company payrolls
• No more embedded (hidden) income/payroll taxes in prices
• Reduced costs. Competition – not tax policy – drives prices
• Off-shore “tax haven” headquarters can now return to U.S
• No more “favors” from politicians at expense of taxpayers
• Resources go to R&D and study of competition – not taxes
• Marketplace distortions eliminated for fair competition
• US exports increase their share of foreign markets
FOR THE COUNTRY:
• 7% – 13% economic growth projected in the first year of the FairTax
• Jobs return to the U.S.
• Foreign corporations “set up shop” in the U.S.
• Tax system trends are corrected to “enlarge the pie”
• Larger economic “pie,” means thinner tax rate “slices”
• Initial 23% portion of price is pressured downward as “pie”
increases
• No more “closed door” tax deals by politicians and business
• FairTax sets new global standard. Other countries will follow
While many vested interests are motivated to demagog this well-research plan, those who want to become part of the solution ( http://snipr.com/ftnow ) can learn more.
Comment by Ian — July 2, 2007 @ 2:47 am