Why A National Sales Tax Is A Terrible Idea

Governor Ron DeSantis recently and forcefully slapped the issue of dealing with the fearful wrongdoing of the IRS and the monstrous tax code it enforces on the campaign table. In the past he and a number of Republicans have endorsed a national sales tax as a way of abolishing the IRS and drastically reforming the federal tax system.

This episode of What’s Ahead argues that pushing a national sales tax—the specific proposal favored by many GOPers is dubbed the “Fair Tax Act”—would be a big mistake, even though it would replace personal and corporate income taxes, payroll taxes, the death tax and taxes on savings.

The 30% national sales tax would still leave millions of people worse off. To overcome its regressiveness, the Fair Tax plan would send every household each month a payment to help pay for essentials. This scheme alone would entail a new bureaucracy to administer it.

Several serious compliance issues are discussed as well as other flaws.

The Fair Tax Act is a snare for Republicans.

Articles You May Like

GameStop shares drop 19% after retailer posts 29% sales decline, reveals stock sale plan
Biden vs. Trump: Here’s what the next president means for your taxes
What to expect from the housing market in the second half of 2024, according to real estate experts
Biden and Trump both want to extend tax cuts for most Americans — but paying for it could be tricky
Opinion: The elements for a big stock market drop are aligning. Here’s why investors shouldn’t panic

Leave a Reply

Your email address will not be published. Required fields are marked *