I was listening to Neal Boortz yesterday and the discussion came back to the Fair Tax. While I have heard of it, I have failed so far in reading enough to understand it fully. But with the time to pick myself a candidate nearer, this issue is becoming more important. So I did my research. Here's what I found from FairTax.org. I encourage you to read it for yourself.
I ran my income through the estimator on the page, and was surprised. The amount I would have gained through the year was almost the same as my refund from the government for the same year. However, since I did have plenty of problems with late payments and overdrafts, the increased monthly income would be better than that big-assed chunk of cash months later.
There's a whole lot of reading to do about the fair tax, so I'll just summarize it here. Basically, we move from a tax on income to a tax on our spending. This, coupled with a prebate check each month from the government for a minimum cost of living means that we have more money each month to spend on bills and necessities, as well as all those other things we want. It eliminates every existing loophole that allows someone with enough money and enough accountants to avoid taxes altogether. In addition, it eliminates the entire IRS, which will eliminate all kinds of extra expenses. And finally, it requires repealing the 16th amendment, which gave Congress the right to tax our income in the first place.
The biggest advantage to the whole system, though, is the transfer of power from the federal to the state governments. One of the two balances of power that played out in the early years was states rights versus federal rights. This issue was prevalent from the beginning of the country up to its resolution in the Civil War. Since that time, the federal government has continued to gather more power to itself until we are at a point where the government has its claws in everything. % The answer, of course is to begin scaling that back. And I can think of no better way than to take away the power of the federal government to suck money from our pockets. And I will quickly and heartily endorse a top-tier Republican candidate that embraces this. So I will wait until Iowa and New Hampshire have weeded out the lesser candidates before I make my choice. Until then, tell your favorite candidate to sign on to support the Fair Tax.