This week’s Chairman’s Report is written by Jade Walle. A practicing CPA has been on the American For Fair Taxation board of directors.
Be Smart Pay Zero Taxes!
I read a recently released book by Mark J. Quann entitled, “Be Smart Pay Zero Taxes.” The book was extremely interesting and outlined how to use the buy, borrow, die strategy to get rich and stay rich. Mr. Quann highlights what most financial planners would describe as an unusual approach to minimizing our U.S. income tax liability. A key premise throughout the book was that avoiding any and all income tax liability was a high goal to strive towards.
It was a fascinating read, and I highly recommend this book. However, after I finished the book’s 306 pages, it struck me that that virtually none of Mr. Quann’s brilliant and thoughtful analysis, planning, and well thought out techniques would be necessary if the FAIRtax was the law of the land. I thought about how Mark Quann’s energy and insights could be redirected and employed for other amazing work helping people with financial planning.
Mark takes a different angle on investments, especially investments that usually appreciate and gain value relative to the “money” we so liberally print in the U.S. that losses value over time due to inflation. With stocks/ETFs, real estate, cryptocurrency, and precious metal investments,
Mr. Quann’s strategy is to absolutely never sell your investments, because they usually trigger capital gains taxes. He further advises investors to borrow against these assets to buy more of these appreciating assets.
Again, I applaud the out-of-the-box thinking here, but if the FAIRtax were the law of the land, there would be no capital gains taxes and the strategy would not have to be so dogmatic. Mr. Quann would then be free to advise people on true quality investments, making buy, hold, and sell decisions based on risk, business need, and opportunity. Drastic measures designed solely to avoid the tax man would no longer be necessary.
I don’t think we realize how many gyrations, undulations, rotations, twirling, and whirling that financially astute Americans go through to legally avoid income taxes. The National Taxpayers Union Foundation reports that Americans spend 6.5 billion hours each year complying with the tax code. I have to believe that this number is woefully underreported. Just think about Mr. Quann’s book here. At least two thirds of his research and strategy formulation could fall into this tax compliance or tax planning bucket. Like the frog that dies in a pot of water when the heat slowly rises, are we all being slowly boiled to death by the IRS and the income tax system?
Do we even realize the pain, turmoil, and effort we all expend to comply and plan for the income tax each year? I don’t think we do.
To help shock us back into reality, let’s just think about how life with the FAIRtax would be.
First, for Mr. Quann’s sake, there would be no more capital gains taxes since the FAIRtax taxes consumption, not productive efforts. Virtually all of the book would be rendered inane- guess it goes in the goodwill pile now. Further, there would be no IRS, no income tax returns of any kind, no corporate tax returns, no individual tax returns, no estate tax filings, no gift tax returns, and the list goes on.
Only a small percentage of our U.S. businesses that sell at the end-user, consumer level would need to collect and remit the FAIRtax, and they already have systems in place to do this for state sales taxes. Consequently, the incremental lift here is negligible at most. Illegal tax evasion plummets to an almost de minimis level with the FAIRtax relative to the $1 trillion in annual U.S. illegal tax evasion we see with the income tax.
Our government’s spending is more transparent, as federal spending that is currently disguised in the form of reduced treasury receipts (i.e., deductions, exemptions, credits, exclusions, loopholes, etc.), are all gone. With the FAIRtax, if politicians are asked how they intend to get the money for any new spending they propose, there are only two answers: We’ll go into more debt to fund this new shiny thing or we’ll raise the FAIRtax rate on our U.S. citizens. I wish all politicians good luck in selling a new project with the latter strategy.
In the end, I absolutely loved Mark Quann’s book. It kept me riveted on multiple legs of an international flight journey, and I couldn’t put it down. This got me to thinking about how there might be many other areas in our lives that the income tax invades into, robbing us of our precious time, productivity, and our creative thinking skills. A million things likely come to mind for us all, but if the FAIRtax were the law of the land, you wouldn’t be spending time right now reading this Chairman’s Report. And I wouldn’t have had to spend any time writing it, because when the FAIRtax passes, our job is done. There will be no more need for a weekly CR. This is just one small example we probably would never think about. Let’s all wake up together and jump out of this boiling pot before it’s too late!
CONCLUSION
One of the things that a real change to our tax system must address is how it affects the various elements of our society.
Jade has done an excellent job of demonstrating that the FAIRtax will dramatically how we not only plan investments but spend our time.
Many of you have labored tirelessly for freedom from the federal income tax and the IRS. You deserve a great deal of credit for your efforts to educate the American people on the need to fund the American government in a way that is good for America and returns freedom to the American people.
It is imperative, though, that we don’t replace the current income tax and the IRS with an alternative system that can still be manipulated by the Ruling Elite. We must let Congress and the President know that the best way to replace the income tax and the IRS is with the FAIRtax.
Make no mistake about it. The FAIRtax is a grave threat to the Ruling Elites. It will strip them of their power and their ability to control us though the tax system. Their opposition to the FAIRtax will be fierce and unrelenting. And don’t think for an instant that they won’t use half-truths, deception and downright lies in their desperate attempt to hang on to their power.
However, with the support of this President, we can finally eliminate the income tax and the IRS!!!
Of course, the best course of action is to not only repeal the income tax and abolish the IRS but to repeal the 16th Amendment as well so no future administration can ever shackle the American people with an income tax again.
We must come together and ensure that real tax reform, the FAIRtax, is not subverted by the Elites in D.C.
This will take the diligent efforts of all of us. We need your financial assistance, and we need your grass roots assistance.
If you have contacts that will allow us to get more information to President Trump about the FAIRtax please let us know.
Please email us at info@fairtax.org and we will give you some options on how you can best help us.
At a minimum, please call your Congressional representative and ask if he or she supports the FAIRtax. If so, thank him/her for their support and suggest they become a cosponsor of HR-25 if they’re not one already. If not, ask why not. If your representative claims to be unfamiliar with the FAIRtax, offer to have someone come to their office and explain it to them.
Please go to this link to invest in AFFT and help us pass the FAIRtax. It’s an investment in your and your family’s future.
THE SOLUTION—PASS THE FAIRTAX!
Why would D.C. pass the FAIRtax and give up this almost unlimited source of donations? The only way that they will is if the rest of us demand it!
Isn’t it time to end this ludicrous tax collection system and the IRS?
HELP BRING ABOUT REAL TAX REFORM AND STOP FUTURE IRS ABUSES
By contributing (investing) $10.40 per month, you help provide a financial base to AFFT. If you can make larger contributions (investments), these will be used not for salaries, as we are all volunteers, but for the needed updates to our economic studies which will be vital for all future years.
Please go to this link to invest in AFFT and help us pass the FAIRtax. It’s an investment in your and your family’s future.
Be Smart Pay Zero Taxes!
I read a recently released book by Mark J. Quann entitled, “Be Smart Pay Zero Taxes.” The book was extremely interesting and outlined how to use the buy, borrow, die strategy to get rich and stay rich. Mr. Quann highlights what most financial planners would describe as an unusual approach to minimizing our U.S. income tax liability. A key premise throughout the book was that avoiding any and all income tax liability was a high goal to strive towards.
It was a fascinating read, and I highly recommend this book. However, after I finished the book’s 306 pages, it struck me that that virtually none of Mr. Quann’s brilliant and thoughtful analysis, planning, and well thought out techniques would be necessary if the FAIRtax was the law of the land. I thought about how Mark Quann’s energy and insights could be redirected and employed for other amazing work helping people with financial planning.
Mark takes a different angle on investments, especially investments that usually appreciate and gain value relative to the “money” we so liberally print in the U.S. that losses value over time due to inflation. With stocks/ETFs, real estate, cryptocurrency, and precious metal investments,
Mr. Quann’s strategy is to absolutely never sell your investments, because they usually trigger capital gains taxes. He further advises investors to borrow against these assets to buy more of these appreciating assets.
Again, I applaud the out-of-the-box thinking here, but if the FAIRtax were the law of the land, there would be no capital gains taxes and the strategy would not have to be so dogmatic. Mr. Quann would then be free to advise people on true quality investments, making buy, hold, and sell decisions based on risk, business need, and opportunity. Drastic measures designed solely to avoid the tax man would no longer be necessary.
I don’t think we realize how many gyrations, undulations, rotations, twirling, and whirling that financially astute Americans go through to legally avoid income taxes. The National Taxpayers Union Foundation reports that Americans spend 6.5 billion hours each year complying with the tax code. I have to believe that this number is woefully underreported. Just think about Mr. Quann’s book here. At least two thirds of his research and strategy formulation could fall into this tax compliance or tax planning bucket. Like the frog that dies in a pot of water when the heat slowly rises, are we all being slowly boiled to death by the IRS and the income tax system?
Do we even realize the pain, turmoil, and effort we all expend to comply and plan for the income tax each year? I don’t think we do.
To help shock us back into reality, let’s just think about how life with the FAIRtax would be.
First, for Mr. Quann’s sake, there would be no more capital gains taxes since the FAIRtax taxes consumption, not productive efforts. Virtually all of the book would be rendered inane- guess it goes in the goodwill pile now. Further, there would be no IRS, no income tax returns of any kind, no corporate tax returns, no individual tax returns, no estate tax filings, no gift tax returns, and the list goes on.
Only a small percentage of our U.S. businesses that sell at the end-user, consumer level would need to collect and remit the FAIRtax, and they already have systems in place to do this for state sales taxes. Consequently, the incremental lift here is negligible at most. Illegal tax evasion plummets to an almost de minimis level with the FAIRtax relative to the $1 trillion in annual U.S. illegal tax evasion we see with the income tax.
Our government’s spending is more transparent, as federal spending that is currently disguised in the form of reduced treasury receipts (i.e., deductions, exemptions, credits, exclusions, loopholes, etc.), are all gone. With the FAIRtax, if politicians are asked how they intend to get the money for any new spending they propose, there are only two answers: We’ll go into more debt to fund this new shiny thing or we’ll raise the FAIRtax rate on our U.S. citizens. I wish all politicians good luck in selling a new project with the latter strategy.
In the end, I absolutely loved Mark Quann’s book. It kept me riveted on multiple legs of an international flight journey, and I couldn’t put it down. This got me to thinking about how there might be many other areas in our lives that the income tax invades into, robbing us of our precious time, productivity, and our creative thinking skills. A million things likely come to mind for us all, but if the FAIRtax were the law of the land, you wouldn’t be spending time right now reading this Chairman’s Report. And I wouldn’t have had to spend any time writing it, because when the FAIRtax passes, our job is done. There will be no more need for a weekly CR. This is just one small example we probably would never think about. Let’s all wake up together and jump out of this boiling pot before it’s too late!
CONCLUSION
One of the things that a real change to our tax system must address is how it affects the various elements of our society.
Jade has done an excellent job of demonstrating that the FAIRtax will dramatically how we not only plan investments but spend our time.
Many of you have labored tirelessly for freedom from the federal income tax and the IRS. You deserve a great deal of credit for your efforts to educate the American people on the need to fund the American government in a way that is good for America and returns freedom to the American people.
It is imperative, though, that we don’t replace the current income tax and the IRS with an alternative system that can still be manipulated by the Ruling Elite. We must let Congress and the President know that the best way to replace the income tax and the IRS is with the FAIRtax.
Make no mistake about it. The FAIRtax is a grave threat to the Ruling Elites. It will strip them of their power and their ability to control us though the tax system. Their opposition to the FAIRtax will be fierce and unrelenting. And don’t think for an instant that they won’t use half-truths, deception and downright lies in their desperate attempt to hang on to their power.
However, with the support of this President, we can finally eliminate the income tax and the IRS!!!
Of course, the best course of action is to not only repeal the income tax and abolish the IRS but to repeal the 16th Amendment as well so no future administration can ever shackle the American people with an income tax again.
We must come together and ensure that real tax reform, the FAIRtax, is not subverted by the Elites in D.C.
This will take the diligent efforts of all of us. We need your financial assistance, and we need your grass roots assistance.
If you have contacts that will allow us to get more information to President Trump about the FAIRtax please let us know.
Please email us at info@fairtax.org and we will give you some options on how you can best help us.
At a minimum, please call your Congressional representative and ask if he or she supports the FAIRtax. If so, thank him/her for their support and suggest they become a cosponsor of HR-25 if they’re not one already. If not, ask why not. If your representative claims to be unfamiliar with the FAIRtax, offer to have someone come to their office and explain it to them.
Please go to this link to invest in AFFT and help us pass the FAIRtax. It’s an investment in your and your family’s future.
THE SOLUTION—PASS THE FAIRTAX!
Why would D.C. pass the FAIRtax and give up this almost unlimited source of donations? The only way that they will is if the rest of us demand it!
Isn’t it time to end this ludicrous tax collection system and the IRS?
HELP BRING ABOUT REAL TAX REFORM AND STOP FUTURE IRS ABUSES
By contributing (investing) $10.40 per month, you help provide a financial base to AFFT. If you can make larger contributions (investments), these will be used not for salaries, as we are all volunteers, but for the needed updates to our economic studies which will be vital for all future years.
Please go to this link to invest in AFFT and help us pass the FAIRtax. It’s an investment in your and your family’s future.