Justin Scott <[email protected]> wrote: > > You're ignoring the increase in take-home pay that comes from not > having an income tax. Sure, people would be aghast at higher prices > for a while, but they'd also have more money to spend, so things would > balance out. >
Hm. I'm sure I'm saying things without clarity because I'm finding it hard to understand what's so controversial. Here it is: (1.) In my opinion, the Fair Tax (or a flat tax or other schemes) could technically work in the US. (2.) In my opinion, any type of revolutionary change to our tax code is a non-starter if only due to all of the entrenched interests. Barring some major motivator, it's my opinion that it won't happen, Fair Tax included. (3.) In my opinion, the Fair Tax would drastically skew business models (e.g. CA's sales tax experiments are skewing business models as we speak). (4.) In my opinion, in a Fair Tax world legal or fraudulent goods arbitrage would become an entire industry. (e.g., Legal: Amazon; Illegal: Rx sites) (5.) In my opinion, the government would not be able to keep up with fraud which would have the result of driving a "fraud tax" on top of what would be the normal Fair Tax rate. This would further incent fraud until an equilibrium was reached. The only way to prevent this would be a LOT of IRS agents. In short, it's not going to happen so it's a purely academic discussion; but supposing that it did the business model impact is unpredictable (just as the new CA law is having unpredictable and unintended consequences). As bihnez dude, I would oppose it on those grounds since I don't like unknowns ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:339850 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
