The Motley Fool Discussion Boards
Financial Planning / Tax Strategies
|Subject: Re: FairTax||Date: 9/28/2012 7:13 PM|
|Author: JAFO31||Number: 116714 of 123143|
ferjen: "I think it's unfair that nearly half of Americans pay no income taxes whatsoever. 23% of a lot is a lot more than 23% of a little."
FairTax will not change that much.
According to the Tax Foundation, the AGI cutoff for the bottom 50% is barely above the rebate amount, see Table 7, http://taxfoundation.org/article/summary-latest-federal-indi...
"As you pointed out, if you are poor or lower middle class, it will be neutral to you. But, we the consumers get to decide WHEN to pay the tax as opposed to the federal government demanding it from us. I like that a lot. I also like that money not currently taxed in underground economies, illegal aliens, etc. will get taxed with the Fair Tax. This would be extremely lucrative."
Liek the seller's of drugs and other illegal products will collect sales taxes?
OP (peter, IIRC): <<<And I don't like regressive taxes. I believe they are unfair.>>>
"I don't like progressive taxes. I believe they are unfair."
"This whole "tax the rich" thing is a load of crap. You and I both know if you seize all of the assets of the "rich", it wouldn't make a dent in the deficit or the debt."
First, no no one is seriously arguing for seizing all of the assets of the rich. Second, the assets and incomes of the rich are substantially larger than the assets of the poor.
The top 1% report between 16.12% to 22.83% of AGI per year for the ten years 2000-2009), See Table 5, previously provided, while the bottom 50% reprot between between 12.26% and 14.23% of AGI per year for the same period. IOW, the top