The candidates for District 8 U.S. representative enthusiastically support a national sales tax, commonly known as the Fair Tax.
In general, the plan works by eliminating the entire existing tax code and the IRS. The Fair Tax acts that have been introduced in Congress would set the national sales tax rate at 23 percent.
“I have always been in favor of the FairTax; the current tax code is progressive in nature and stands against everything our constitutional republic was supposed to protect,” said Craig McMichael, who is one of three people challenging incumbent Kevin Brady in the March 1 Republican primary. “It is time for the FairTax and to end the IRS.”
McMichael said he’s seen the “horrible effects of compromise” at the federal level.
“… It always seems that the conservative message is the one never followed and our freedoms are slowly compromised away,” McMichael said. “This is a stand that needs to be made, the IRS and the income need to be done away with to allow true economic freedom in our republic. You push for the FairTax and everything else comes off the table.”
Incumbent U.S. Rep. Kevin Brady, R-The Woodlands, has been a sponsor of the Fair Tax bill in the past, although the current political climate made it impossible to pass so far.
“Our GOP presidential candidates and conservatives in Congress have other good ideas as well,” Brady said. “The Fair Tax is one of the proposed tax reform plans I’ll spotlight, along with the Flat Tax and Reagan-style reform. House Republicans will advance tax reform this year to be ready for a Republican president.”
Brady, who is chairman of the powerful, tax-writing Ways and Means Committee, said he’s leading “the first real tax simplification since President Reagan achieved it in the 1980s.”
“America has the worst tax code in the world, and I’ll advance a pro-growth tax code that guarantees our local businesses can compete and win whether it’s on Main Street or around the world,” Brady said. “Simplifying the tax code doesn’t mean adding more exemptions, it means having fewer and lowering the tax rates for everybody so it’s simpler and fairer.”
Brady referenced presidential candidate and U.S. Sen. Ted Cruz’s plan to have a flat tax rate of 10 percent for individuals and 16 percent for businesses, replacing the corporate income tax.
Former state Rep. Steve Toth, also challenging Brady, said he’d support either Cruz’s plan or the Fair Tax, just as long as the IRS is eliminated.
“It’s been weaponized by Democrats and liberal Republicans. Right here in Houston, the IRS attempted to run a tool and die operation out of business for supporting conservative groups,” said Toth, referencing what many conservatives say were inappropriate IRS audits. “The only way I would support a Fair Tax is if it were introduced through a constitutional amendment that also eliminates the IRS and the payroll tax. To introduce a new tax without putting a stake through the heart of the payroll tax and the IRS just give the feds one more source of tax revenue.”
Andre Dean, of Madisonville, the third challenger in the District 8 GOP primary, said he’s 100 percent in support of the national sales tax.