So we should tax a higher percentage of the income of the poor because they "choose" to do things like eat while the wealthy can afford to save? I've never quite seen how a "fair" tax is fair at all. Is there some accomodation to protect the lower and middle classes from the fact that sales taxes are inherently regressive?
Yes, there is:
http://www.fairtax.org/site/
Page...t_faq_answers#3
and here:
http://en.wikipedia.org/wiki/
Fai...thly_tax_rebate
Basically, each month legal citizens with a valid SSN get a prebate for all necessities. Therefore the tax would really only apply to those luxury purchases, of which the wealthy buy more of. This also means that those who want to save their money won't get penalized for doing so by the IRS.
Interesting - it might not be a bad idea, though it would make budgeting difficult since there is no way to predict spending on such itemsin any given year. Not that taxes are an exact science...I suppose another alternative is to just not tax necessities, as they do in some states. Sill not sure how much revenue such a plan would generate, and it would certainly be a radical change. Interesting idea though. Just not sure America is ready for it.
Commenting by HaloScan
