Good point! There's an estimated trillion dollars in black market income that doesn't get taxed. Getting rid of the IRS is a no brainer. I'm amazed that people put up with a system that keeps them paranoid about being audited. Everyone knows someone who got screwed by the IRS. We waste hundreds of billions of dollars just in dealing with the massive amount paper work required by the income tax every year.
Originally Posted by joe bloe
I too like the idea that everyone pays.
But ,,, how would the fair tax eliminate the black market. Seems like it would make it bigger?
Now,
Earn 1.00, keep 0.60
Buy soda for 0.50, pay
0.035 in tax on open market, pay 0.00 tax on black market
Fair tax system
Earn 1.00, keep 1.00
Buy soda for 0.50, pay
0.11 in tax on open market, pay 0.00 tax on black market
I see where with the FT I come out ahead, but in both, I'd still buy on the black market if possible.