For those of us who have been working for many years to get real tax reform, it is very frustrating to see the D.C. politicians express their agreement with real tax reform. However, after wringing their hands and acknowledging the following about the present income tax system:
• Evasion is rapidly increasing
• U.S. exports are being punished and imports rewarded
• U.S. money is trapped overseas and is not coming back to the U.S.
• Encourages U.S. jobs to be moved overseas
• The IRS is corrupt and unfairly acts against whomever it is directed
• $450 billion is spent just trying to comply, not to pay the tax
• Punishes hard work and savings
They also readily acknowledge that the FAIRtax will:
• Have much less evasion
• Reward U.S. exports and tax U.S. imports, making U.S. products more competitive in world markets
• Allow money to be returned to the U.S.
• Attract vast amounts of foreign investment to our country
• Reward companies operating in the U.S. and creating jobs in the U.S.
• Eliminate at least 80% of the compliance cost of the income tax system
• Ensure the funding of Social Security
• Reward hard work and savings
The Elephant
The elephant in the room is that the FAIRtax will pull back the curtain and clear the smoke that has been obscuring the true cost of government for so long. Under the present system and even under the flat income tax that many discuss with such glee, the true cost of government is hidden.
Contrast this with the FAIRtax. Everyone in America, young, older, retired and working are all consumers. They will all see the cost of the FAIRtax because it will be levied on all the new goods and services they consume.
In 1994, I met with a Member of Congress who was considered a conservative and vocally proclaimed the need to “reform” the income tax code and reduce the size of government. However, when I described using a national retail sales tax, he looked quizzically at me and clarified that everyone would see the cost of government reflected in the amount of the sales tax. He then turned a bit ashen and said to me, “My god, there will be a rebellion if the people see this.”
At the time, I was more naïve and felt that this was not an important point because it was the right of people to see the cost of their government. Of course, I now see that it is an important point.
Why Are They Afraid Of The Public Knowing The True Cost Of Government?
There are probably many reasons, but I think many Members, who consider themselves supporters of smaller government and less taxes, worry that the public will be so enraged when forced to confront the true cost of the U.S. government, they will be tossed out along with people who have promoted more and more spending.
In the 1990’s the chief promoter of the retail sales tax replacing the income tax was Congressman Billy Tauzin from Louisiana. He told me that the way to understand Members of Congress was to know that 10% on the left and 10% on the right were devoted to supporting any issue that was part of their agenda—regardless of the cost to themselves. The other 80% just wanted to keep their jobs.
Most of the Members really enjoy being treated like kings and queens in D.C. If they return to their homes, they may be able to make more money, but they will be just like the rest of us.
The Solution To Members Afraid To Show Voters The Truth
We need to politely but firmly tell our respective Members that they have to do the right thing and support the FAIRtax or we will work to have them replaced. That seems to be the only language they accept. If they want to keep their jobs, they need to do the right thing and not “hide the ball” from their constituents but do what is best for America, even if it means having to face a very upset public that realizes they have been treated like children being told there is a Santa Claus.
February D.C. Trip
With your help we can make an even larger impact. Peggy does a great job of setting up appointments, and she will be even more productive with your help. Please contact Peggy at: Peggy.Green-Ernst@FairTax.org.
1040 Club
Although I sound like a broken record, we have to keep promoting the 1040 Club in order to not only make AFFT solvent but to show other donors that our members are willing to financially support AFFT.
At no time in the history of the FAIRtax have we had the opportunity we have now. We have a Chairman of the Ways and Means Committee who is a cosponsor. We have all of the Presidential candidates talking about the need for tax reform.
We need your help to maintain the basic operations of AFFT. We are not paying any salaries and most of us are even paying our own expenses. We have a relatively painless way for you to help.
To those of you not familiar with the 1040 Club, AFFT is asking people to contribute $10.40 per month to AFFT. This provides a steady funding platform and allows us to spend our time not trying to raise money but actually working with groups to help make passage of the FAIRtax a reality. Thanks to each of you who have joined the 1040 Club. You are ensuring that Americans For Fair Taxation can continue to promote the FAIRtax.
If you are not a member of the 1040 Club, or if you are a member but want to join for someone else, please go to this link and sign up.
FAIRtax Power Radio
Whether you’re a FAIRtax volunteer or an informed citizen who wishes to be better informed, we encourage you to listen to FAIRtax Power Radio, the online radio show that is available when you are. Bob and Ron just finished a series of three episodes interviewing Autry Pruitt, radio personality and AFFT Board Member. Here are the links:
FTPR 23 - http://bit.ly/1J0VBGQ
FTPR 24 - http://bit.ly/1l3fXDL
FTPR 25 - http://bit.ly/1ZYzDIJ
AFFT National LOGO Store and Scrolling Signs
The AFFT national store is operating and providing all of us with access to materials that help introduce the FAIRtax to others. Please click here to visit the store.
Thank You For Opening The FAIRtax Chronicles, Our Sponsored Mailings
We plan to do several of these mailings each month. If you take a minute to open the sponsored emails and click through to the website, you are making an in kind contribution to AFFT. It is not required to actually make a purchase, but your minute of time will ensure that AFFT is paid ever larger amounts from people paying for us to send their offers to our supporters.
Again, we are making every effort to ensure that we work with only reputable companies. If you feel that any FAIRtax-sponsored email is objectionable, please email us at info@fairtax.org and tell us why. You can also opt to not receive these sponsored email messages but still receive FAIRtax emails.
Thank you for staying FairTax strong!
