Originally Posted by InthewindAZ

It is not a flat tax. It is a national retail tax on "high end" items. By eliminating all fed. taxes and costs... costs that are referred to as "embedded" taxes because they are a result of taxing everything from the raw product, to manufacturing, to wages, to transportation,... on and on... by eliminating all of these taxes, approx. 23% of the cost of everything purchased in this country, whether houses or cars or boats or whatever... would be eliminated. This Fair Tax would replace that as a 23% national retail tax. Only those who buy the product would pay the tax. The actual cost of the item would remain the same as now due to elimination of all embedded taxes. Additionally, spending power would be increased due to the elimination of the Fed. Income tax, resulting in an increase in paychecks by essentially your tax bracket... 23% or 28% or... And eliminating the IRS frees up literally hundreds of BILLIONS of dollars in taxes for use toward things such as education, infrastructure and so on. It's a win win for everyone except lobbyists and politicians dependent upon money from lobbyists.