The FairTax ... Part II

The paperback version of The FairTax Book hit the bookstores earlier this week. Radio Talk Show Host Neal Boortz and Congressman John Linder's #1 New York Times bestseller is now better than ever. The paperback version includes a 16 page "Afterword" that puts the squash on the short-sighted objections raised by the hardcover addition.

Just to review ... the FairTax repeals all personal and corporate income taxes, social security and medicare payroll taxes, gift taxes, inheritance taxes, capital gains tax, self-employment tax, and the alternative minimum tax and replaces them with a national retail sales tax. There are no tax returns to be filed ... there is no need for an Internal Revenue Service (at least not in its present form) ... no audits, no tax preparers. But the best part is that you receive your complete paycheck (minus any State withholdings) and you get a pre-bate each month equal to the the amount of tax your family would be expected to pay on the basic necessitites of life (based upon the government's poverty level statistics). What's not to love about it?

The only real problem is this reform requires politicians to give up power. The power to manipulate the tax code to favor one constituent lobby over another. The power to appeal to the lower income voters by increasing taxes only on the less populous wealth voters. The power to control your ability to save for retirement, college educations for your children, or for just about anything that your hardwork and frugality might attain.

Read the book ... read my previous posts. See the light!