Fair Tax Nation

Replace All Federal Taxes on Income with the Fair Tax Act , HR 25

This affects, you, me, and the survival of America!

Some of you have heard of this and some of you probably have not. For those of you that have not this will be a learning experience for you, and for those of you that have, I hope I can teach you something new to help push the Fair Tax to your local legislator.
What is the Fair Tax?
The Fair Tax is a new way for the country to collect taxes in a fairer and in a far more simple way. The Fair tax adds a 23% sales tax on the purchase of all new goods and services. Do not let that freak you out though I promise it’s a much better system if you keep reading. If the Fair Tax is incorporated the IRS would be a thing of the past, which means no more having to file taxes every year, which means you get to keep your whole pay check every time you get paid, federal income taxes, social security tax, Medicare and Medicaid taxes would be a thing of the past. If you made 500.00 a week right now you probably only bring home 400 or less after all of your taxes are taken out. Under the Fair Tax if you made 500.00 a week you would be depositing 500.00 a week into your checking account.
Ok now let’s get into the 23% sales tax that would be added onto all new goods and services. It seems scary but it is really not. The price you see on the shelf would be the price you pay all taxes would have already been included. So if you see something for a dollar on the shelf and you take it up to the cash register it would cost you a dollar. But let’s look at prices and how they would change. Hypothetically speaking: A loaf of bread in the grocery store under our current tax code: There are certain taxes that are hidden along the cost of making that bread. I will make a list:
1.) Farmer buys the seed (seed is taxed when sold to the farmer)
2.) Farmer raises the grain and sells it to a granary (grain is taxed when sold to the granary)
3.) Granary turns grain into flour and then sell it to a bakery (four is taxed when sold to the bakery)
4.) Bakery turns the flour into bread and then sells the bread to a grocery store (bread is taxed when sold to a grocery store)
5.) Then you buy it and it is taxed when you check out.
By the time you have purchased that one loaf of bread it has been taxed 5 times, making the price of the loaf of bread go up. So let’s do some simple math. Taxes are almost 30% the cost of that loaf of bread. So let’s take that 1.00 and subtract 30%. That gives you .70 cents. Let’s then add the 23% national sales tax, that equals about .16 cents which brings the price up to 86 cents. Then the state sales tax is added as well. Here in Columbia, SC the state sales tax is .07 cents on the dollar. That adds up to .06 cents on that price. So it goes from .86 cents to .92 cents. So look you just saved .08 cents and not to mention the other .07 cents you saved on the state sales tax. So that Loaf of bread under our current tax system would have cost you 1.07 in Columbia, SC, under the Fair Tax that loaf of bread would cost you .92 cents. Not to mention you get to keep your whole paycheck when you get paid so there for you’re saving even more money. Also, there is another plus to this. Every month every citizen in the United States would receive a “pre-bate” check based on the poverty line which will be adjusted to inflation every year. This is free money that you would receive at the beginning of every month. At the current rate everybody that was a U.S. citizen would receive around 188.00 a month. This is to help offset the cost of taxes for the poor set at the poverty line, but you when you receive the “pre-bate” check every month you are allowed to spend it however you wish. That equals out to 2,256 per person every year. That is free money.
The Fair Tax will also help with the creation of Jobs in the United States. Since there would be no corporate taxes involved in the process anymore it would be cheaper to manufacture products in the United States than anywhere else in the world. Most American corporations would then start to come back to the United States and then you would start to see an influx of or companies from other nations flowing into the United States to produce goods. This would help create millions of jobs for the American worker. The trillions of dollars that are in offshore bank accounts as well would return to the United States investing in the American future without having to pay taxes on that money.
Who would be exempt from the Fair Tax? Nobody would be exempt. Since the Fair Tax is a tax on the retail level every time somebody made a purchase at a store they would be paying their taxes. So in turn this gets rid of tax evaders and the black market where hundreds of billions of dollars go untaxed every year. With the Fair Tax, the government and the IRS will no longer care how you made your money or where it came from. This would make those people that never pay taxes such as but not limited to: drug dealers, prostitutes, exotic dancers, business/people that choose not to file every year, pay taxes. This would generate trillions of dollars every year into the American economy. Again, you would only be paying taxes on new goods and services. So if you buy something off of eBay , at a garage/yard sale, or buy a used car you will not have to pay a 23% sales tax. But most people will probably still continue to shop and buy new items because not only will they be able to keep their whole pay check without anything coming out of it, the prices at the store would actually be cheaper than the prices we see today.
I would highly recommend you forward this to your friends and your family and write your local congress man. Tell them you will not vote for them unless they support the Fair Tax. This is an issue that needs to be solved and it cannot be fixed without you the help of the American People. We need to set an example to those politicians that do not support the Fair Tax. These politicians that do not support the Fair Tax are probably the ones that are accepting the huge incentives from lobbyists. If the Fair Tax was ever incorporated as the American tax system, lobbyists would be a thing of the past which would help lower the corruption levels of the politicians.

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