I support the Fair Tax (the form of taxation which would abolish the income tax by replacing it with a hefty sales tax) because it would help the government receive more money and use the money more efficiently, therefore allowing the tax itself to be lower.
The first reason I support it is that it would significantly decrease the size of the IRS, which means more of our tax money would actually benefit the country instead of just paying bureaucrats. This is particularly important to me because I’m constantly looking for ways to decrease the size of the bureaucracy.
The second reason is that the problem of tax evasion would completely disappear. This would help the government receive more money for the obvious reason, and it would help the government use our tax dollars more efficiently because we would no longer have to pay anyone to investigate the matter, pay for the trails of tax evaders, or pay to keep them in prison.
The third reason is that illegals, tourists, and foreign investors would have to pay our taxes as well. With the value of the dollar constantly sinking, our country (at least our land and goods) is pretty much on sale to foreign investors. While the diminishing dollar value is obviously not good for the economy in the very least, at least the Fair Tax would require foreign investors to pay for our schools, roads, etc. (yet another reason why the tax would not need to be as high) As for the illegals, they wouldn’t be half as much of a problem for our country if they paid taxes, but I’ll write more on that issue later.
In addition to these reasons, I also oppose progressive taxing, but I’ll also write more on that one later as well. For these four reasons, I think the Fair Tax is a very sensible idea and I hope we enact it soon. (Unfortunately, we probably won’t be that smart.)
but now that i think about it, i guess that i should. i like the idea of the fair tax, and you made a lot of sense, but wouldn't a hefty sales tax on all goods make it harder for many people to achive a certain standard of living? some people can't afford grocery bills as it is, you know? and a income tax i think is a good thing because it's relative to the situation of each citizen. if you make 2 million a year, i think you should pay more taxes...
Well, I'm glad I made you think about it. :) Actually, I oppose progressive taxing and favor a flat tax, but I plan on writing another blog on that later. Also, even the Fair Tax could be somewhat progressive. Some have suggested that rebate checks be sent to poor homes monthly to reimburse them for the high sales tax. As for the complaint about the hefty sales tax, remember that people wouldn't be paying income tax at all. Since their pay checks would be larger because the government wouldn't be taking any of it out in the first place, people would have enough money to cover the sales tax.
i don't have to pay taxes, being a minor and all, so i never really thought about them. thanks for explaining!!! and if they incorporated the rebate thing, i'd rather like the fair tax... i think.
Yeah, I'm all for the Fair Tax. I haven't been working too long, but I know that there's a very large chunk of my check that gets taken out and that doesn't make me feel that great. I worked for that money, so... why don't I get it? One other reason that this would work is that people can choose to save and save more efficiently. Think about it, if one decided to buy only the goods that are necessary, he could really rack up some savings quite quickly. In the end, a higher sales tax most likely wouldn't even get near what the government takes out of paychecks now. Unless the sales tax went really really high (and I mean really really really really high) then we'd still be getting more to spend. It's too bad that this probably won't be happening. If they do choose to do this, they'll probably just happen to throw in that everyone needs to get a computer chip and bar code in them to purchase anything... that doesn't sound familiar at all....
Oh no, that definitely doesn't sound familiar... And yeah, I thought about that. If that's what they do with the Fair Tax, I'll change my mind.