John Linder

Who likes our tax system? Who enjoys going through the paperwork and headaches of April 15th? There are hidden taxes everywhere (have you looked at your phone bill lately?). The system is so complicated and convoluted that we require professionals to do our taxes - and even they come up with the wrong answer!

Neal Boortz is proposing a simpler system: a 23% national sales tax. There would be a monthly check sent to each household that would cover the basic living expenses based on the show more national poverty line.

So the average American would receive their full gross pay every week/2 weeks. How do you like that? Every retail purchase you make would be paying a 23% sales tax; however, the price of products and services will remain the same because of all the hidden taxes removed. Okay, this part is a little sketchy.

But hey, if I received my full gross pay and pre-bate, I could deal with a 23% increase in everything I buy from retail.

It does bother me that all these "expert economists" are studying and coming up with all these wonderful outcomes of this system. Economists are paid to predict and study ... but how can anyone measure something an idea like an economy? How can they predict what 250 million Americans will do ... or 6 billion earthlings? I don't remember anyone last year predicting hurricanes that would wipe out New Orleans.

So there are risks. But our current system of exceptions, loopholes, and exceptions to the loopholes boggles my head. FairTax proposal is not perfect ... it should be called "SimpleTax".

On april 15th when you're doing your taxes, remember there are other choices ... another way. show less

[a:Neal Boortz|140558|Neal Boortz|https://s.gr-assets.com/assets/nophoto/user/m_50x66-09ae6e5eb554f8a5ab0515c05488ea34.png] is a blowhard. Having said that, I was interested in reading the book for an overall idea of what FairTax is. As a buzzword, it's a super-charged political issue. As an actual policy, I like it. After all, it would benefit people like me, who save religiously, buy used, and spend frugally. I'd like to read a book opposing it to find out exactly what the author isn't show more telling me. I hate politics and lobbyists as much as the next bloke, but trying to tell me this is the magic bullet to cure all that is suspect. Every system can be gamed, and every player can cheat, that will never change. show less

I will begin by stating I had never heard of Neal Boortz until about two years ago when his syndicated show came to our local market; with that I still have never listened to one full hour. We definitely share political ideologies, but I wouldn't consider myself a sycophant. I picked this book up for $2 and wanted to inform myself on different tax plans floating around after becoming intrigued by Herman Cain's 999 plan.

This is a book review however, and not a radio personality piece. I found show more the FairTax idea an interesting one and worth investigating. The book itself provided a well written history of the income tax, withholding (a subversive method of siphoning our money for political fodder), and the evolution of Medicare and Social Security. I would liked to have read a book dedicated just to these topics alone.

The two authors lay out a very compelling argument for their desired tax plan. It is a consumption tax, rather than an "off the top" involuntary tribute to the government. Say what you will about some intricacies, the overall idea is very fair - there is no built in class warfare or pitting groups against each other. This exposes opponents, who regularly talk about fairness in the tax system, as having no desire for fairness, but only of punishment and redistribution. The equitable goal of the FairTax is that everyone (working poor, black marketeer, family of four, uber-rich yachtsman and politician) would pay, at the time of the book's writing, 23% "sales" tax on any good purchased. This is appreciably more reasonable than the convoluted system of taxation which burdens us now. The FairTax would do away with our current regulations, which are often contradictory and far too confusing for even an attorney or tax agent to completely understand. As the authors mention a few times, those who administer black market and illegal trades that deal in cash, the estimated 1-plus trillion dollars lost in the underworld markets would be captured through consumption of legal goods; most importantly, the activity would not be legalized.

My dislike for the FairTax is the idea of a "prebate." The book explains it as a monthly check to sent to every household to prophylactically rebate purchase of items deemed essential. For instance in my state, items deemed necessary (non-prepared food, medicine and clothing) are not subject to a sale's tax. The prebate would be issued on something similar to a debit card. While it isn't the idea of not applying a sales tax to food and medicine, it is the fact that the government still determines what is and isn't taxed, doling out money (a reasonable assumption the monthly total would be set by the legislature), and continues the Social Security-style monthly check.

While this plan is a great step to limiting the size of government, the idea of a prebate group to replace the Internal Revenue Service seems like a zero-sum game. What is encouraging would be the repatriation of off-shored money residing in tax sheltered accounts; the disappearance of the approximately 23% "built in" tax each layer of regulation and corporate taxes add to the final cost of a good or service; and no withholding of our paychecks.

Take it as you will, it is from a radio talk host and a congressman, but as the opposition always demands an alternative to the "no" of Republicans, here is one of many tax proposals. show less

This book points out the complexity of the Federal Income Tax system, and recommends abolishing it and the entire Internal Revenue Service, and replacing it with a national sales tax. While fair on the surface, the poor will tend to be hit hardest by such a plan. However, part of the plan, lower income individuals and families will receive a "prebate" to ensure that they are able to purchase the basics without penalty. Many issues need to be resolved with the plan, but simplifying the tax show more code, making it fair for all, and eliminating many of the loop holes which allow many to escape taxation is a good idea. The book is a follow-up to the original Fair Tax book, and attempts to answer many questions such as 1. Will the Fair-tax be Revenue Neutral? 2. Will 23% tax be sufficient? 3. Will Employers pay the Payroll and Withholding tax to their Employees currently being deducted from their checks, or will they keep it? 4. How much will the Fair-tax Prebate cost? 5. Will the Fair-tax effect the amount of our Social Security Benefits? 6. Will we have to start Paying the Fair-tax on items not currently taxed now? 7. Will the cost of goods and services increase, because of the Fair-tax? 8. Who will the Fair-tax benefit and burden the most? show less