Join the Fair Tax Forum and learn about the tax reform movement that is sweeping the nation!
The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue neutrality, and, through companion legislation, the repeal of the 16th Amendment.
The FairTax Act (HR 25, S 296) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.
The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.
Social Security and Medicare benefits would remain the same. The Social Security and Medicare trust funds would receive the same amount of money as they do today. The source of the trust fund revenue would simply be personal consumption tax revenue instead of payroll tax revenue.
Collection would piggyback on the sales tax collection already collected by 45 states. All states would have the option of either collecting federal sales tax on behalf of the federal government in exchange for a fee or outsourcing to another state.
Strong taxpayer rights are incorporated into the FairTax. The burden of persuasion in disputes is on the government. A strong, independent conflict resolution office would be created. Taxpayers are entitled to professional fees in disputes unless the government establishes that its position is substantially justified.
FairTax Forum
