Critics of FairTax need to check facts
Atlanta Journal-Constitution, August 18th, 2004
Income taxes. Those two words frighten. Payroll taxes. Those two words cause the real pain. Two-thirds of Americans today pay more in payroll taxes than income taxes and for lower income Americans, the percentage is even higher.
My bill, H.R. 25-The FairTax, is the only bill in Congress that will abolish payroll taxes and ease this burden on American workers and yet opponents of my bill call it regressive.
The FairTax is the only bill in Congress that will completely eliminate the 22 percent tax that is hidden in the price of everything that you and I buy. That's right: the former Dean of Economics at Harvard confirmed in a study that on average hidden taxes compose 22 percent of the price of everything that we buy. The FairTax completely eliminates this hidden tax, thus increasing the purchasing power of low-income and working Americans by 22 percent and yet opponents of my bill call it regressive.
The FairTax is the only bill in Congress that provides a monthly tax rebate check-paid in advance-to make certain that all purchases up to poverty level spending occur completely tax-free. That's right: the FairTax rebate means poverty level Americans struggling to make ends meet will never be burdened by a penny in Federal taxes-hidden, direct, or otherwise and yet opponents of my bill repeatedly and erroneously call it regressive.
The FairTax will make sure that every American brings home their full paycheck, free of the myriad of Federal taxes and withholdings seen today. And the FairTax will make sure that Social Security and Medicare-now teetering on the brink of bankruptcy-are fully funded with new dollars and new sources, protecting America's safety net and yet opponents of my bill call it regressive.
How can the critics be so wrong? Because they are attacking an idea-the idea of a sales tax and their criticisms hold true for the idea. But what I am talking about is an actual proposal, a real piece of legislation available for you to read, Congress to pass, and the President to sign into law.
Don't be fooled by the mistakes of others. America's economic future is too important for closed minds and old stereotypes to stand in the way. Visit www.fairtax.org and see for yourself, then you can decide who is right and who is just selling you a highly taxed bill of goods.