The only time the cost of a tax can not be passed on, is when the cost of the tax along with the other costs of production, prices a product out of competition with imports.
Our present system of taxing cascades at each step of production, burdening domestic products with more cost that imports don't have to contend with. The United Sates is currently the only one of the 30 OECD member…
Added by Keith Reynolds on October 24, 2012 at 10:14am —
Among the many ways the fairtax beings fairness to taxation is it introduces fair trade to free trade. Currently over 98% of everything that is imported into this country comes from a country that has a border adjustment in their tax code. Continue
China reimburses their exporters up to 17% of the cost of their products to remove the cost of their VAT from their exports while charging the same 17% to imports. Mexico does the same with a 16% VAT, Canada with a 13% goods and service tax,…
Added by Keith Reynolds on December 30, 2011 at 10:07pm —
I know support for the fairtax is not dead and more post in support of the fairtax will help educate people on its virtues, e.g. its ability to turn the economy around, reverse the trade deficit, bring jobs back to america, make free trade fairer, increase productivity, eliminate 1/2 of lobbying in congress, make politicians listen to their constituents more, and eliminate billions of hours and billions of dollars spent to comply with a massively complex tax code, thereby leaving more… Continue
Added by Keith Reynolds on September 15, 2010 at 3:00pm —
An important thing to remember is that the fairtax replaces the income tax.
In order to understand why the fairtax taxes government consumption, we need to first understand how government collects taxes from government's spending under present income taxes. To simplify the discussion, imagine a group of people on an island. Every year, each chips in 22% of his income to pay for things important to the group.
One year the… Continue
Added by Keith Reynolds on June 14, 2009 at 9:30pm —
One of the major reasons for tax reform is to simply the tax code and lessen the regulatory expenses it imposes to a more productive economy.
(cost of tax preparation)/(taxes revenues collected) = (efficiency of tax collecting). $350 billion to prepare taxes / $2,528 billion in “2008 federal receipts” = 13.845% inefficient
The fairtax has a low cost of collection. At about 90% less costly the Fairtax would only be about 1.4% inefficient leaving more money in the economy to… Continue
Added by Keith Reynolds on June 11, 2009 at 1:01am —
Government ineptness in tax policy and the effects on production while complicit doesn't excuse GM for it failing. GM's failing is a result of not just taxes punishing production that chase jobs out of America, but a chain of choices and compromises with an equally complicit union.
Unions can not vote them self's more value for work performed. Only a free market can ultimately determine wage, artificial constructs forced on a companies create inefficiencies in the market. Eventually… Continue
Added by Keith Reynolds on June 2, 2009 at 12:30pm —
Looking at it from this angle overly simplifies each state, but adding up the numbers
U.S. Bureau of Labor Statistics
Data extracted on: May 22, 2009
States with no income tax have a labor force of 26,845,500 and 2,183,200 unemployed for an average unemployment rate of 8.13%
States with no sales tax have a labor force of 5,824,300 and 541,600 unemployed for an unemployment rate of 9.3%
States with no income… Continue
Added by Keith Reynolds on May 26, 2009 at 11:29pm —
One day some guys sat around and thought about the problems with our present taxes, wondering if there were a better way to fund the federal government with out the problems the current tax system has. Years latter, and $22 million spent researching, and developing a tax system that would work, came the FairTax. The only agenda that the FairTax has, is to get rid America of the problems generated from our present system of taxing.
We FairTax supporters have been persuaded though… Continue
Added by Keith Reynolds on April 9, 2009 at 8:30am —
Maybe it is hard for some to believe business will lower their price. Maybe they never ran a business.
My prices will be adjusted starting January 1st the year the fairtax goes into effect; to reflect my new cost with out production taxes, and lowered compliance cost. I will also aggressively place ads in order to capture my competitors clients. Switching to the fairtax is an opportunity to increase my market share by offering lower priced items then my competitors that are slower to… Continue
Added by Keith Reynolds on April 8, 2009 at 5:07pm —
Thank you fairtax supporters for your endorsements of the fairtax at http://fairtax.whitehouse2.org/ . Because of you we've pushed the fairtax to #1 on the site. If you have not yet made an endorsement then please do and add comments or talking points helpful to the fairtax. Remember to post comments in priorities that relate to the fairtax or that the fairtax fixes.
Added by Keith Reynolds on April 8, 2009 at 4:29pm —
The income tax when used as a weapon in class warfare, levies terrible collateral damage to the whole of America.
Added by Keith Reynolds on April 7, 2009 at 6:26pm —