The ‘Fair Tax’ would be anything but fair
Huckabee has been basing his campaign on abolishing the dinosaur called Income Tax. I’m not saying it doesn’t need huge reform but this “Fair Tax” that Huck is proposing would be anything but fair.
Imagine you’re a small businessperson. You’re already wearing a bunch of hats just to get your daily job done. Now, instead of dealing with income tax once a year, you now have to assess “fair tax” on everything you sell, and increase your bookkeeping burden and reporting to accomodate all this fairness. You also have to pay it on everything you buy. No more write offs.
Imagine you’re a first time homebuyer. Not only do you have to come up with a down payment, you also have to come up with the fair tax. Or worse, roll it into the mortgage and pay it many times over. Same deal with cars- most people will have to roll the tax into the financing or not have wheels. And with people using credit cards for purchases, that will also add to the problem. Seems to me that if the “fair tax” comes into being, the industry to be in is credit, since credit providers will be making dough off everyone’s “fair tax”. That doesn’t seem very fair to me.
And anyone who thinks that “rebate check” once a year will even out the difference doesn’t know what it’s like to live from paycheck to paycheck, which will be worse if the final tally on the food bill or rent bill or utility bill is that much higher.
As with most tax plans, the only people who will be less hurt by this is the rich.
Technorati Tags: Fair Tax, Huckabee
01/29/08, 4:23 PM |
You article about the FairTax legislation is wrong.
Just to give you one example of how much you DON’T know abou the FT. It is a monthly prebate and not yearly.
You simply don’t understand how the FT works, have you even read the book? Have you looked at the actual legislation? Have you been to the website and read about it?
Don’t slap something until you understand it!
01/29/08, 5:11 PM |
Okay, TELL me how its going to be fair to make EVERY SMALL BUSINESSPERSON into a tax collector?
01/29/08, 5:19 PM |
You aren’t MAKING every small businessperson into a tax collector…they already are!!
Each month, every small business that has retail sales must collect, report and remit state, county (and possibly other sales taxes) to the state government.
The FT will only be one additional line on the monthly report.
Also, FYI…the business will also get to keep a very small portion of the taxes as payment for collecting them.
Next question??
02/1/08, 12:24 PM |
I hope that you are finally reading about the fair tax.
Because, I hope you are not one of those bloggers that make statements and won’t back them up or admit when they are wrong.