The current system is not conducive to a free market, and will eventually if not drastically changed

What do rental cars and sports stadiums norwegian cruise line dawn have in common? norwegian cruise line dawn Everything, if you live in Kansas City, Mo. According to an article titled Tax Burden Heavy for Travelers norwegian cruise line dawn in the September issue of National Geographic Traveler magazine, In 2005, the city decided to finance a stadium by tacking on a $4 per day surcharge to its already high taxes on car rentals. According to a Travelocity study, norwegian cruise line dawn Taxes added an average of 63 percent to the cost of renting a car in Kansas City. In cities like Atlanta and Dallas, which also used car rental taxes to finance norwegian cruise line dawn stadiums, Taxes raise the bottom line on car rentals by more than 50 percent. And it is not just rental cars, it is also (as we all know) hotel rooms. This is all just a reminder that is not just the federal government that taxes us to death. Gee, wouldn t it be great to pay an additional 30 percent FairTax on your already over-taxed rental car?
You re a real demagoger of the FairTax, Mr. Vance. You know very well that embedded tax-related norwegian cruise line dawn costs borne by the business are already in the existing price costs that, under FairTax, competition would drive lower before the 29.85% norwegian cruise line dawn ( 23% tax-inclusive same $$ amount) FairTax.
While many who are invested in the current income tax system seek to demagog the well-researched FairTax plan , its acceptance in the professional / academic community continues to grow. Failure to enact the FairTax choosing instead to try to flatten a NON-FLATTENABLE income tax system will result in an irrevocable economic meltdown !
The current system is not conducive to a free market, and will eventually if not drastically changed norwegian cruise line dawn cause the balance norwegian cruise line dawn of our society to tip to a non -free market. (Define that point as you will, the point is that we are moving steadily away from a genuinely free market.)
I concur with Anthony. Taxation is theft. A fair tax is a contradiction in terms. Why not approach it with the Ron Paul method: abolish the IRS and replace it with NOTHING. norwegian cruise line dawn Then abolish the Federal Reserve and reestablish the gold standard. Done.
Regrading the FairTax and rental cars (leasing) and hotel rooms; those items are taxed by the FEDERAL government today. Basically remove the home mortgage interest deduction and watch those who currently itemize holler that mortgage interest is being taxed. norwegian cruise line dawn In other words, since your income used to purchase goods and services today is taxed, anything not deductible (such as food, clothing, rents, hotel costs, etc) is in fact taxable.
(1) The federal government may in fact be taxing rental cars and hotel rooms, but it looks to me like the FT won t do anything about these local or state taxes, which as Vance has pointed out are a bit steep.
(2) Your argument seems flawed to me since it could work in exactly the opposite direction. Suppose that we were living under a FT plan, and that there was a 30% national sales tax on everything. Suppose I wanted to Get rid of the unfair norwegian cruise line dawn tax! and supported a replacement tax on income.
norwegian cruise line dawn Then, I could say: Nowadays everyone norwegian cruise line dawn ignores the fact that the taxes are added to the sales price as an inclusive 23% rate. People just pay for goods without thinking about how they would cost 30% less if we just got rid of the sales tax. My new proposed FAIR TAX will take the cut from people s income *before* they can spend it. That way, it stops slipping through unnoticed and people will see the devastating norwegian cruise line dawn effect of taxes with each and every paycheck. Imagine the outrage when Americans realize that they government takes 30% of their hard earned cash before they can even spend it!