Frontpage

David Nelson · Joined: 12 May 2008 12:27 pm Posts: 27

Rich, you are not helping by being rude, and you certainly don't help when you claim you lecture on the FairTax but don't know the bill numbers. I agree with Bill on every point here except where he says jobs won't be coming back because labor is cheaper in Mexico.

Bill, you are correct that a portion of the reason for outsourcing jobs is labor costs, but it has been anecdotally proven that the combination of corporate and payroll taxation has at least as much bearing on corporate boards deciding to move factories etc.

DavidFL10

Bill Pelland · Joined: 25 Feb 2008 07:34 am Posts: 312

David Nelson- The following is the first part of the fair tax bill:

1 SEC. 2. CONGRESSIONAL FINDINGS.
(a) FINDINGS RELATING TO FEDERAL INCOME
TAX.�Congress finds the Federal income tax�
(1) retards economic growth and has reduced
the standard of living of the American public;
(2) impedes the international competitiveness of
United States industry;
(3) reduces savings and investment in the
United States by taxing income multiple times;
(4) slows the capital formation necessary for
real wages to steadily increase;
(5) lowers productivity;
(6) imposes unacceptable and unnecessary administrative
and compliance costs on individual and business taxpayers;
(7) is unfair and inequitable;
(8) unnecessarily intrudes upon the privacy and
civil rights of United States citizens;
(9) hides the true cost of government by embedding
taxes in the costs of everything Americans buy;
(10) is not being complied with at satisfactory
levels and therefore raises the tax burden on law
abiding citizens; and
(11) impedes upward social mobility.

(b) FINDINGS RELATING TO FEDERAL PAYROLL
TAXES.�Congress finds further that the Social Security
and Medicare payroll taxes and self-employment taxes�
(1) raise the cost of employment;
(2) destroy jobs and cause unemployment; and
(3) have a disproportionately adverse impact on
lower income Americans.

(c) FINDINGS RELATING TO FEDERAL ESTATE AND
GIFT TAXES.�Congress finds further that the Federal estate
and gift taxes�
(1) force family businesses and farms to be sold
by the family to pay such taxes;
(2) discourage capital formation and entrepreneurship;
(3) foster the continued dominance of large enterprises
over small family-owned companies and farms; and
(4) impose unacceptably high tax planning costs on small
businesses and farms.

You and I have been trading numbers back and forth, each of us trying to prove our position. The very name of the bill suggests that those who support it consider our tax system to be unfair. As I read over the list above I realized that some statements made have some merit and others may not.

All that said, it occurs to me over many exchanges the saying that dope dealers will have to pay taxes, or illegals will have to pay taxes. Lately the possibility that somehow this new tax system will bring our jobs back from overseas.

I realized that the issue goes beyond just economics but maybe goes towards some sense of unfulfilled justice, a frustration if you will with deeper issues that are bothering us.

Is it really the idea of progressive tax rates that make the system unfair or is it something else? Don't misunderstand. I still think the FAIR TAX bill is wrong for America and that my position has nothing to do with our current system. I believe the FAIR TAX is a dangerous idea. I also believe things could be done to the current system to improve it.

All in all, I'm tired of crunching numbers tonight and just thought I would reflect on the ongoing debate from a slightly different perspective.

What say ye....Deep down what is the 1 most appealing thing that attracts you to the FAIR TAX. Whether you answer or not is fine. I'm just trying to get a better handle on the appeal of the FAIR TAX in my own mind.

By the way, I hit the submit button by mistake so the earlier post, like five minutes ago, is incomplete.
Bill Pelland
Murchison, TX

Local Weather Forecast
Today: Current:78	Sunday: 96/74	Monday: 94/73
Complete Forecast for Aug 30 2008

ONLINE EXTRAS

SITE SERVICES

BIBLE VERSE

Frontpage