Fail! Dixie is talking about the "fair" tax not a flat tax.
Please, man. It’s the same snake oil Cons have been trying to sell for 40 years. They just rebranded it and repackaged it. Whether it applies to an income tax, or a sales tax, the consequences and intent are exactly the same. A redistribution of the tax burden away from wealth and corporation to working schmuks. Retooled and repackaged to appear brand spanking new.
There’s a reason no sane person, or rational country on the planet has adopted Dixie’s scheme. It would result in a black market plutocracy. And there’s zero evidence in the real world, that it leads to some sort of economic nirvana for a modern developed country.
DIXIE: Fair Tax would be a national sales tax, and estimates are, it would need to be about 23% to cover current expenditures of the Federal budget. This means, everything consumable would increase in price by 23%.
First, unless Dixie is proposing a constitutionally dubious massive expansion of federal power,
the Feds have no authority to dictate the tax systems of state and local jurisdictions. So on top of a 23% federal sales tax, you would also have to pay whatever state and local taxes and fees are needed to pay for local and state revenue that is independent of the federal budget.
So, what, are we going to be paying
30-35% tax on all consumer goods? PLUS the state income taxes or fees that the Feds have no authority to dictate or change?
Like I said, Dixie apparently wants a Russian black market plutocracy economy.
DIXIE: Now here is the huge upside to this system. No income tax, no corporate tax, no capital gains tax!
This is Dixie’s most hilarious pile of horseshit. So corporations don’t have to pay tax? Let me get this straight, Dixie wants corporations to have the legal rights of person per the SCOTUS ruling, BUT without any of the responsibilities of a person? Don’t corporations use our courts, our transportation infrastructure, our education system, and aren’t they protected by a massive global military prescence?
What kind of horseshit is that? Working schmucks pay 30% and corporations pay zero?
And what the f is this no taxation on investment income? Most of billionaires wealth is tied up in investments, the amount they spend annually on consumer products is a tiny fraction of the investment wealth they hold. So Dixie is blathering about a massive tax cut for the ultra wealthy.
So really, what kind of horseshit is this? Working schmucks get to pay a 23% national sales tax on everything they buy,
PLUS they get to continue to pay all the local and state taxes and fees that the federal government has no authority to regulate?
WTF? It’s a massive tax cut on wealth, it’s reducing corporate taxes to zero, and increasing the share of the tax burden on working Americans.
Who the hell is down with that? There’s a freakin’ reason these flat tax schemes are found mostly in third world, black market plutocracies. It’s a transfer of the tax burden away from wealth, and onto working schmucks. And smarter, machivellean conservatives know it even if Dixie doesn’t.