WE WON’T TAX THIS PORTION OF INCOME… HOW DO YOU LIKE ME NOW?
Each presidential election cycle there are plans and promises of meaningful changes to our antiquated U.S. income and payroll tax system. The premise of all of these promises and plans is that we are all confined to perpetually persisting within the very income tax system that apparently needs to be “fixed” like clockwork every four years. The many promises that our political representatives make often sound enticing or common sense by themselves, but only in a world where the income tax system is indefinitely ingrained in our nation’s fabric.
Former president Trump has proposed four proposals to amend our income tax system that make quite a bit of sense.
First, the idea that our elderly citizen’s social security benefits should not be taxed is a no-brainer. The social security (FICA) tax dollars that our retirees have contributed to the U.S. Treasury via payroll withholdings over a lifetime of hard work have already been taxed when they were originally earned. To tax a portion of one’s social security benefits credited to their accounts now when they finally receive their benefit, is double taxation and on its face ridiculous. So, this of course makes complete sense.
Second, not taxing our hard-working wage earners that work for tips and gratuities is inherently logical. Often when performing labor like I did in high school as a golf caddy the hourly wages are meager (or non-existent) and seasonal.
This means that any incremental tax that we pay on our tips is like salt in a wound. These workers are already not making that much, and even these alms for the poor, these bits of gratuities received in their cup of earnings end up with the government’s hand reaching in for its “fair share.” So, by all means, let’s end taxation of our U.S. service workers tip income.
Third, eliminating taxation on our hard-working American workers’ overtime pay is brilliant. Our U.S. working force is one of the most committed and hard-working forces the world has ever seen. When overtime is necessary for increased company productivity or to meet a boost in customer demand, etc. workers often feel like it’s not worth it. Overtime earnings are often taxed at higher incremental income and payroll tax rates and even if they earn “time and a half,” workers feel slighted with measurably higher tax withholdings on overtime pay. This is a very common-sense proposal!
Lastly, lowering our corporate income tax rate to 15% from 21% has been proposed. President Trump commented in a recent September 2024 interview with Trace Gallagher how the U.S. would be a tax haven and companies would rush to the U.S. with a lower, 15% corporate income tax rate. On its face, this makes complete sense.
What do all these admittedly good ideas have in common? These initiatives all assume we must continually exist in our soul-eroding income tax regime. Let’s free ourselves from the shackles of this income tax system. The FAIRtax has the same ideas above, but even better. The FAIRtax does not tax tip income, social security income, or overtime income. Further, the FAIRtax does not tax corporate income. Lowering that 21% corporate income tax rate to 15% is good, but how about 0%?
In fact, the FAIRtax will not tax any income at all. Let that sink in a moment. These four relatively small, but good ideas are galvanizing and exciting the electoral base. Imagine if we proposed to end income taxes on every single bit of income, whether it be individual or corporate income, period. The U.S. would indeed become an immediate global tax haven as mentioned above, but at an exponentially larger and almost unimaginable scale. So, the question is, can we bring ourselves to think outside the tight, uncomfortable, always in need of repair income tax “box” we’ve all been trapped in since the 16th Amendment was ratified in 1913? As one past president was fond of saying at campaign rallies, “Yes we can!”
CONCLUSION
Randy clearly shows the benefits of the FAIRtax and why it is a winning strategy with the public.
The FAIRtax gives each of the promised benefits and much more!
The choice is easy—do we want a system for funding the federal government:
- That is so simple everyone can understand it.
- That shows the costs of the federal government on every retail receipt so all of us understand what we are paying.
- That helps U.S. companies compete with foreign competitors.
- That keeps jobs in the U.S. rather than exporting them to other countries.
- That permanently establishes the solvency of Social Security and Medicare.
- THAT IS THE LARGEST TRANSFER OF POWER FROM D.C. TO THE PEOPLE SINCE THE CONSTITUTION WAS ADOPTED.
D.C. is ignoring the one real solution that allows us to remain citizens and not subjects, the FAIRtax. The FAIRtax is simple, non-invasive, but most of all, IT WORKS!
THE SOLUTION—PASS THE FAIRTAX!
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?
There is going to be a vote on the FAIRtax in the House of Representatives.
We now have the opportunity to force all Members of the House to show where they stand. They can:
- Vote for the present income/payroll tax system or for the FAIRtax.
- Support the corrupt income tax and the IRS or eliminate it. It can’t be any simpler than that.
- Hide the true cost of their government or pass the FAIRtax and show everyone the true cost of government on each retail receipt.
- Support the largest transfer of power from government to the people, the FAIRtax, or not.
If Members think that the FAIRtax needs to be amended to address a problem, then they can propose the change. Don’t let reject the entire bill because it has a perceived “flaw” that can be addressed.
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.