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Published June 23, 2009 08:40 pm - I did some research on the Fair Tax proposal, and in a perfect world it sounds good. There are a few details, however, that I think have not been considered. The payroll taxes for instance.
Voices: Fair Tax concerns
I did some research on the Fair Tax proposal, and in a perfect world it sounds good. There are a few details, however, that I think have not been considered. The payroll taxes for instance.
If we got rid of the payroll deductions, how would you be able to fairly allocate Social Security pensions? Currently Social Security entitlements are factored on wages earned. If we based all taxes upon purchases there would be no way of fairly allocating “contributions” without proving what you spent. That would be a worse nightmare than the current tax code.
Without payroll taxes and record-keeping, how do you fund unemployment contributions? Also, just taxing new purchases would just lead people to purchase used, which many do now. Taxing services could be interesting also. I can see many “cash under the table” sales. Also, if you start giving exemptions, you will be right back to where we are now. No easy answers, just a few concerns.
Donna Harlan
Sarcoxie
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