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Thread: A look at the FairTax Act’s specific provisions. Be careful of what you ask for.

  1. #1

    A look at the FairTax Act’s specific provisions. Be careful of what you ask for.

    .
    If the FairTax ACT were passed into law the following explains some of its specific provisions.



    It would create two new tax collecting agencies, an “Excise Tax Bureau” and the “Sales Tax Bureau", in addition to keeping the Bureau of Alcohol, Tobacco and Firearms alive, which will also be collecting taxes.

    See: SEC. 302. ADMINISTRATION OF OTHER FEDERAL TAXES.

    (a) In General.—Section 7801 of the Internal Revenue Code of 1986 (relating to the authority of the Department of the Treasury) is amended by adding at the end the following:
    “(d) Excise Tax Bureau.—There shall be in the Department of the Treasury an Excise Tax Bureau to administer those excise taxes not administered by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
    “(e) Sales Tax Bureau.—There shall be in the Department of the Treasury a Sales Tax Bureau to administer the national sales tax in those States where it is required pursuant to section 404, and to discharge other Federal duties and powers relating to the national sales tax (including those required by sections 402, 403, and 405). The Office of Revenue Allocation shall be within the Sales Tax Bureau.”.


    It imposes a new 23% “FairTax” on “the use or consumption in the United States of taxable property or services” while Congress’ power to continue to lay and collect taxes on “incomes” remains fully intact;

    See: “SEC. 101. IMPOSITION OF SALES TAX.

    “(a) In General.—There is hereby imposed a tax on the use or consumption in the United States of taxable property or services.”


    The FairTax Act does not withdraw Congress’ power to lay and collect taxes calculated from profits, gains, wages, tips and other lawfully realized incomes. It merely promises to do so within seven years.

    See SEC. 401. ELIMINATION OF SALES TAX IF SIXTEENTH AMENDMENT NOT REPEALED.

    “If the Sixteenth Amendment to the Constitution of the United States is not repealed before the end of the 7-year period beginning on the date of the enactment of this Act, then all provisions of, and amendments made by, this Act shall not apply to any use or consumption in any year beginning after December 31 of the calendar year in which or with which such period ends, except that the Sales Tax Bureau of the Department of the Treasury shall not be terminated until 6 months after such December 31.”


    The FairTax Act also increases the number of times tax returns are filed from one, to twelve Fair Tax returns a year;

    See: “SEC. 501. MONTHLY REPORTS AND PAYMENTS.”

    “(a) Tax Reports And Filing Dates.—
    “(1) IN GENERAL.—On or before the 15th day of each month, each person who is—
    “(A) liable to collect and remit the tax imposed by this subtitle by reason of section 103(a), or
    “(B) liable to pay tax imposed by this subtitle which is not collected pursuant to section 103(a),
    shall submit to the appropriate sales tax administering authority (in a form prescribed by the Secretary) a report relating to the previous calendar month.


    The FairTax Act also requires ordinary working people to register with government in order to exercise a fundamental right of mankind . . . selling the property each has in their own labor.

    See “SEC. 502. REGISTRATION.”

    “(a) In General.—Any person liable to collect and remit taxes pursuant to section 103(a) who is engaged in a trade or business shall register as a seller with the sales tax administering authority administering the taxes imposed by this subtitle.


    The FT also requires ordinary people to become tax collectors for government;


    See “SEC. 103. RULES RELATING TO COLLECTION AND REMITTANCE OF TAX.”

    “(a) Liability For Collection And Remittance Of The Tax.—Except as provided otherwise by this section, any tax imposed by this subtitle shall be collected and remitted by the seller of taxable property or services (including financial intermediation services).

    It also requires taxpayers to keep whatever records Congress may dream up in the future;

    See “SEC. 501. MONTHLY REPORTS AND PAYMENTS.”

    “(a) Tax Reports And Filing Dates.—
    “(1) IN GENERAL.—On or before the 15th day of each month, each person who is—
    “(A) liable to collect and remit the tax imposed by this subtitle by reason of section 103(a), or
    “(B) liable to pay tax imposed by this subtitle which is not collected pursuant to section 103(a),
    shall submit to the appropriate sales tax administering authority (in a form prescribed by the Secretary) a report relating to the previous calendar month.



    The alleged FairTax also sneakily allows Congress to lay and collect countless “excise taxes” in addition to the new 23% FairTax, which members of Congress may dream up, and can be calculated from profits, gains and other incomes.

    See SEC. 302. ADMINISTRATION OF OTHER FEDERAL TAXES”

    (a) In General.—Section 7801 of the Internal Revenue Code of 1986 (relating to the authority of the Department of the Treasury) is amended by adding at the end the following:

    “(d) Excise Tax Bureau.—There shall be in the Department of the Treasury an Excise Tax Bureau to administer those excise taxes not administered by the Bureau of Alcohol, Tobacco, Firearms and Explosives.



    And, the FairTax Act creates a new entitlement, the “Family Consumption Allowance” [a monthly government check sent to every “qualified family” in the U.S.] that would become another political partisan wedge-issue, just like Social Security, used during election time to buy votes in addition to making an enormously large segment of those who vote extremely dependent upon government to access their monthly necessities of life.

    See “SEC. 301. FAMILY CONSUMPTION ALLOWANCE”.

    “Each qualified family shall be eligible to receive a sales tax rebate each month. The sales tax rebate shall be in an amount equal to the product of—

    “(1) the rate of tax imposed by section 101, and

    “(2) the monthly poverty level.”




    Why on earth would any politician, especially a conservative leader, after studying the FairTax Act’s legislation, support this dastardly evil proposal which would enlarge and strengthen the federal government’s iron fisted taxing grip around the American peoples’ necks? If their object is a sincerely effort to reform our federal tax structure and remove the federal government’s iron grip from the American people’s necks, they would support the Fair Share Balanced Budget Amendment which would actually do what the FairTax is alleged to do but doesn’t.


    JWK



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  3. #2
    I have still yet to meet anyone that has ever wished for any of this $#@!.

  4. #3
    I wish they would just take all my money and give me my share.

  5. #4
    Quote Originally Posted by Slave Mentality View Post
    I have still yet to meet anyone that has ever wished for any of this $#@!.
    I'll bet folks in government who want to control almost every aspect of your life certainly are wishing for the adoption of the FairTax Act.

    JWK


    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was subjugated, and the tools of oppression were made available to some very immoral and nefariously evil people.

  6. #5

    FairTax Co-sponsors avoid defending Family Consumption Allowance entitlement.

    .

    Why do twenty-five
    FairTax Act’s Co-Sponsors in the House want to create a new and massive federal entitlement called the FAMILY CONSUMPTION ALLOWANCE ?

    “CHAPTER 3—FAMILY CONSUMPTION ALLOWANCE . . . “SEC. 302. QUALIFIED FAMILY




    Why are these 25 twenty-five Republicans so eager to create this new federal entitlement, and make approximately 40 million American citizens [the estimated number of American citizens living at, or below the poverty level] dependent upon our federal government for a monthly and rationed supply of tax-free necessities of life? Have we not learned how existing federal entitlements are bankrupting our country and preventing Congress from financing its constitutionally authorized objectives which were meant to promote the general welfare of the United States?


    Did Hamilton not warn us that : A POWER OVER A MAN's SUBSISTENCE AMOUNTS TO A POWER OVER HIS WILL ____ Hamilton, No. 79 Federalist Papers

    .

  7. #6

    Total cost to finance fairtax entitlement called the “Family consumption Allowance

    .
    With all the brilliant posters in this forum, I was wondering if one could provide an estimated figure, or a link, showing the total annual dollar amount our federal government would have to dole out to finance the new entitlement that would be created under the FairTax called the “Family Consumption Allowance.”

    JWK

  8. #7
    Quote Originally Posted by johnwk View Post
    I'll bet folks in government who want to control almost every aspect of your life certainly are wishing for the adoption of the FairTax Act.

    JWK


    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was subjugated, and the tools of oppression were made available to some very immoral and nefariously evil people.
    If they eliminated the income tax and just collected a sales tax it might be ok.

    The biggest problem I have with a sales tax is the burden of collection falls on a small minority. It's great for me, I don't own a retail business. But it would suck for business owners. I've heard people say a sales tax is great because it's easy to avoid by using the black market market but that means legal business owners get wiped out. I think you'd have to have a provision for the government to compensate owners for lost sales.

  9. #8

    Taxing consumption our Founders way

    Quote Originally Posted by Madison320 View Post
    If they eliminated the income tax and just collected a sales tax it might be ok.

    The biggest problem I have with a sales tax is the burden of collection falls on a small minority. It's great for me,.
    If we returned to our Constitution's original tax plan and taxed consumption as our founders intended consumption to be taxed, then it would be ok.


    See Federalist No. 21:

    There is no method of steering clear of this inconvenience, but by authorizing the national government to raise its own revenues in its own way. Imposts, excises, and, in general, all duties upon articles of consumption, may be compared to a fluid, which will, in time, find its level with the means of paying them. The amount to be contributed by each citizen will in a degree be at his own option, and can be regulated by an attention to his resources. The rich may be extravagant, the poor can be frugal; and private oppression may always be avoided by a judicious selection of objects proper for such impositions.



    When Hamilton refers to a “judicious selection”, he was referring to articles considered to be luxury.


    Here is a link to our countries first revenue raising act An Act for laying a Duty on Goods, Wares and Merchandise imported into the United States. Note how each article is selected and a specific amount of tax is laid upon the article selected. Also note that not one dime was raised by internal taxes.


    For a modern-day example of taxing consumption as our Founders intended see the “Omnibus Budget Reconciliation Act of 1990” laying a specific amount of tax on a number of specifically chosen articles considered to be luxury:


    PART III--TAXES ON LUXURY ITEMS
    SEC. 11221. TAXES ON LUXURY ITEMS.

    “`SEC. 4001. PASSENGER VEHICLES.

    `(a) IMPOSITION OF TAX- There is hereby imposed on the 1st retail sale of any passenger vehicle a tax equal to 10 percent of the price for which so sold to the extent such price exceeds $30,000.

    `SEC. 4002. BOATS.

    `(a) IMPOSITION OF TAX- There is hereby imposed on the 1st retail sale of any boat a tax equal to 10 percent of the price for which so sold to the extent such price exceeds $100,000.

    `SEC. 4003. AIRCRAFT.

    `(a) IMPOSITION OF TAX- There is hereby imposed on the 1st retail sale of any aircraft a tax equal to 10 percent of the price for which so sold to the extent such price exceeds $250,000.

    `SEC. 4006. JEWELRY.

    `(a) IMPOSITION OF TAX- There is hereby imposed on the 1st retail sale of any jewelry a tax equal to 10 percent of the price for which so sold to the extent such price exceeds $10,000.

    `SEC. 4007. FURS.

    `(a) IMPOSITION OF TAX- There is hereby imposed on the 1st retail sale of any furs a tax equal to 10 percent of the price for which so sold to the extent such price exceeds $10,000


    Real tax reform is found in the Fair Share Balanced Budget Amendment which begins as follows:

    “SECTION 1. The Sixteenth Amendment is hereby repealed, and Congress is henceforth forbidden to lay any tax or burden calculated from sales, profits, gains, interest, salaries, wages, tips, inheritances or any other lawfully realized money.

    NOTE: these words would return us to our founding father’s original tax plan as they intended it to operate! They would also end the experiment with allowing Congress to lay and collect taxes calculated from lawfully earned “incomes” which now oppresses America‘s economic engine and robs the bread which working people have earned when selling the property each has in their own labor, not to mention they would end federal taxation being used as a political weapon to harass and attack political opponents!

    JWK

    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was subjugated, and the tools of oppression were made available to some very immoral and nefariously evil people
    Last edited by johnwk; 02-09-2023 at 07:08 AM.



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  11. #9

    Estimated cost for the fairtax entitlement called the Family Consumption Allowance.

    .
    I was wondering if someone here could provide an estimated figure, or a link, showing the total annual dollar amount our federal government would have to dole out to finance the new entitlement that would be created under the FairTax which is called the “Family Consumption Allowance.”
    I can’t find anything on the Web estimating the cost of this proposed federal entitlement. Not even at the fairtax web site. Kind of suspicious, wouldn't you think?

    JWK





  12. #10
    "Fair Tax", the oxymoron's oxymoron, with emphasis on "moron"
    freedomisobvious.blogspot.com

    There is only one correct way: freedom. All other solutions are non-solutions.

    It appears that artificial intelligence is at least slightly superior to natural stupidity.

    Our words make us the ghosts that we are.

    Convincing the world he didn't exist was the Devil's second greatest trick; the first was convincing us that God didn't exist.

  13. #11
    Quote Originally Posted by johnwk View Post
    .

    Why do twenty-five
    FairTax Act’s Co-Sponsors in the House want to create a new and massive federal entitlement called the FAMILY CONSUMPTION ALLOWANCE ?

    “CHAPTER 3—FAMILY CONSUMPTION ALLOWANCE . . . “SEC. 302. QUALIFIED FAMILY
    Reading lightly through the section, "nightmare of semantic vagary" comes immediately to mind. The definitions are not even close to being semantically sufficient, the inadequacy being almost certainly intentional, thus once more leaving the Vermin Scum to make it mean anything they please.

    We need my Amendment 28. This should be made very public and pushed hard and without cease until it is made manifest. Unless we hold the threat of death over the heads of these filth, nothing is going to change, save for the ever worse.

    Mors tyrannis.
    freedomisobvious.blogspot.com

    There is only one correct way: freedom. All other solutions are non-solutions.

    It appears that artificial intelligence is at least slightly superior to natural stupidity.

    Our words make us the ghosts that we are.

    Convincing the world he didn't exist was the Devil's second greatest trick; the first was convincing us that God didn't exist.

  14. #12

    Why has Fox News avoided criticizing the Fair Tax Family Consumption allowance entitlement?

    Quote Originally Posted by osan View Post
    Reading lightly through the section, "nightmare of semantic vagary" comes immediately to mind. The definitions are not even close to being semantically sufficient, the inadequacy being almost certainly intentional, thus once more leaving the Vermin Scum to make it mean anything they please.

    We need my Amendment 28. This should be made very public and pushed hard and without cease until it is made manifest. Unless we hold the threat of death over the heads of these filth, nothing is going to change, save for the ever worse.

    Mors tyrannis.
    .
    Has anyone noticed that it is next to impossible to find any mainstream media, including Fox News, which evaluates the destructive and predictable political effects of the FairTax Act’s proposed Family Consumption Allowance?


    While our media is currently full of stories about our “third-rail” entitlement called Social Security, and how Republican Congress critters are looking to cut Social Security, while Democrat Congress critters are looking to save Social Security, nothing is said about creating another “third-rail’ entitlement under the notoriously evil and deceptive FairTax Act.


    I’m still waiting for at least one of the twenty-five FairTax Act’s Republican Co-Sponsors to explain why they embrace creating this new Federal entitlement . . . the Family Consumption Allowance which, like Social Security, is a very bad and dangerous idea, especially since it would make another huge voting block entirely dependent upon government for a monthly and rationed supply of tax-free necessities of life.


    Are they not aware of the maxim stated by Hamilton? “A POWER OVER A MAN’s SUBSISTENCE AMOUNTS TO A POWER OVER HIS WILL” ____ Hamilton, No. 79 Federalist Papers


    Why has our mainstream media, including Fox News, not evaluated the predictable and devastating political effects of creating a new and massive, federal entitlement?


    And why would any freedom loving Republican in Congress support this patently evil tax reform which would enlarge Congress' taxing capabilities and tighten the iron fist of government around the American people’s necks?

    JWK

    Today’s Fifth Column media ___ Rolling Stone, Hollywood, MSNBC, NEW YORK TIMES, CNN, ABC, CBS, NBC, NPR, WASHINGTON POST, ATLANTIC MAGAZINE, New York Daily News, Time, in addition to Facebook, Google, Apple, Politico, Snopes, Fact Check… ETC., and countless Yellow Journalists who are socialist revolutionaries ___ make Russia’s old Pravda, [an organ of the old Communist Party of the Soviet Union] look like propaganda amateurs.




  15. #13

    FairTax Act of 2023 seems to be stalled in House Ways and Means Committee . . . GOOD!

    .

    .

    As of February 10th, 2023, House Ways and Means Committee Chairman Jason Smith (MO) has nothing scheduled for the alleged FairTax Act of 2023.


    CLICK HERE for Updates - House Committee on Ways and Means


    My advice to Chairman Smith is to let the FairTax Act die rather than have its uniformed Republican Co-Sponsors attempt to defend it publicly and have to explain away its pitfalls. Seems they made a mistake by never reading the actual legislation and now with all the blowback, they are in a tight spot.

    I hope this has been a lesson for the 25 Republican Co-Sponsors . . . always read proposed legislation and do not take the word of slithering snake scoundrels like Neal Boortz and Senator Lindsey Graham, who did everything imaginable to misrepresent what the alleged fair tax would really allow.


    They should have learned the lesson taught us by Nancy Pelosi:
    .


    JWK

    There is no “humanitarian crisis” at our southern border as erroneously reported on Fox News. It is an outright invasion of the United States, intentionally orchestrated and perpetuated by the leadership of our tyrannical federal government which includes traitorous, judges, legislators, and our current president of the United States.

  16. #14

    51% of registered voters oppose FairTax Act

    .
    I just came across the following article:

    Some GOP Lawmakers Want to Overhaul the Tax System. Voters Are Mostly Against Their Plan

    February 15, 2023


    "51% of registered voters oppose a bill that would replace the current progressive income tax system in the United States with a national sales tax on goods and services, a dramatic change to the U.S. tax system proposed in House Republicans’ FairTax Act of 2023."

    I’ll bet that at least 90% of registered voters would oppose the FairTax Act if they actually knew what it proposes as documented HERE

    JWK


    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was subjugated, and the tools of oppression and thievery were made available to some very immoral and nefariously evil people.

  17. #15

    Another rich vs poor article on the FairTax Act, this time by Raúl M. Grijalva

    .

    See: Republicans call it a 'fair' sales tax plan, but it would cost most Arizonans more

    Raúl M. Grijalva

    Mon, February 13, 2023
    “All told, the Fair Tax will force lower-budget households to choose between lifesaving medicine or groceries, but for wealthy families, it’s a savings opportunity.”

    Instead of sticking to the specific sections of the FairTax Act and their self-evident consequences, Raúl M. Grijalva spends his time agitating and instigating, and stirring the rich vs poor, and the Republicans are bad guys crap.

    Seems quite suspicious why Mr. Grijalva makes no mention of how the FairTax Act, if adopted, would broaden Congress’s tax collecting capabilities in defiance of our Constitution, and create the largest federal entitlement in our nation’s history which would dwarf Social Security, and make the vast majority of our nation’s voters helplessly dependent upon our federal government for a monthly supply of rationed, tax free necessities of life.

    And what is even more suspicious is, why is it next to impossible to find a single mainstream media outlet [New York Times, Washington Post, New York Post, Wall Street Journal, MSNBC, ABC, CBS, NPR and, etc.] which has reported on the devastating consequences tied to the FairTax Act’s specific Sections as outlined HERE? Seems pretty obvious all we get is the popular media agitating and instigating, and stirring the rich vs poor, and the Republicans are bad guys crap.

    JWK

    “Until you realize how easy it is for your mind to be manipulated, you remain the puppet of someone else’s game.” ― Evita Ochel

  18. #16

    FairTax Act of 2023 seems stalled in the House Ways and Means Committee

    .
    There is still nothing scheduled for the Freedom Caucuse’s alleged FairTax Act posted at the House Ways and Means Committee's UPDATES.


    The 25 Republican Co-Sponsors who promoted that destructing, oppressive, and power grabbing tax plan need to admit they were wrong in promoting it, or they should get primaried for their incompetency and failure to represent the best interests of their immediate constituents.


    It would be so refreshing to hear those who supported the FairTax Act to admit they made a big mistake and then confirm they have learned a very important lesson about not studying proposed legislation before putting their name on it.

    JWK

    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was severely subjugated, and the tools of oppression and thievery were made available to some very immoral and nefariously evil people.
    Last edited by johnwk; 02-28-2023 at 02:11 PM.



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  20. #17

    The deceptive and power grabbing FairTax Act seems to be dead in committee.

    JUST A NOTE
    .
    .

    I have found no activity as of 3/17/2023 [today], on the FairTax Act of 2023 in the House Ways and Means Committee UPDATES.
    Hopefully this deceptive power grab is finally dead.


    The only question I have is, why have 25 Republicans, which includes “Freedom Caucus Members”, co-sponsored this proposed expansion of our federal government’s taxing abilities?


    JWK


    When Federal Reserve Notes were made a legal tender in violation of our Constitution, and a direct un-apportioned tax was imposed upon the people without their consent, America’s free enterprise, free market system was subjugated, and the tools of oppression and thievery were made available to some very immoral and nefariously evil people.



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