FairTax group proposes giving up income tax for sales tax

Janet Morales - February 22, 2011

This nonpartisan legislation (HR 25/S 1025) abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, medicare and self-employment taxes and replaces them with one simple, visible, federal retail sales tax-administered primarily by existing state sales tax authorities. The IRS is disbanded and defunded.

The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.

• Enables workers to keep their entire paychecks.

• Enables retirees to keep their entire pensions.

• Refunds, in advance, the tax on purchases of basic necessities.

• Allows American products to compete fairly.

• Brings transparency and accountability to tax policy.

• Ensures Social Security and Medicare funding.

• Closes all loopholes and brings fairness to taxation.

• Abolishes the IRS.

For more information, go to www.fairtax.org or go to www.citizensforfairtax.com.

The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure that no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue replacement, and through companion legislation, the repeal of the 16th Amendment. This nonpartisan legislation (HR 25/S 1025) abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, medicare and self-employment taxes and replaces them with one simple, visible, federal retail sales tax-administered primarily by existing state sales tax authorities. The IRS is disbanded and defunded. The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system. • Enables workers to keep their entire paychecks. • Enables retirees to keep their entire pensions.• Refunds, in advance, the tax on purchases of basic necessities.• Allows American products to compete fairly.• Brings transparency and accountability to tax policy.• Ensures Social Security and Medicare funding.• Closes all loopholes and brings fairness to taxation.• Abolishes the IRS.For more information, go to www.fairtax.org or go to www.citizensforfairtax.com.