The Fair Tax

[Morton Thomson Jr.]

The Fair Tax

And what’s wrong with it!

Here are the main problems I have with the proposed Fair Tax.

1. Those in favor of passing this legislation claim that it first requires that we repeal the 16^th Amendment. This is a false notion fueled by ignorance of the law. The Supreme Court said in Stanton Vs. Baltic Mining Co., 240 US 112 (1916), that the 16^th Amendment does not change Article I, section 8 of the Constitution, and “confers no new power of taxation.” Therefore repealing the amendment will change nothing and will not, in and of itself, eliminate the IRS. Therefore, even if one could successfully repeal the 16^th Amendment, the proposal is doomed from the onset. Other Supreme Court case law as in Brushaber Vs. Union Pacific Railroad Co., 240 US 1 (1916),  is being used as the legal backdrop for the authority to continue the fraud known as the Income Tax, so repealing the 16^th Amendment will not be enough.
2. The proposed sales tax claims to be “revenue neutral”. This means that it will do nothing to change the amount of money going into the coffers of the federal government. This does absolutely nothing to make the feds more fiscally responsible, which is what they claim to be trying to do with the Fair Tax proposal.
3. Because this is a sales tax and is “revenue neutral”, it’s too easy for everyone to lose track of how and where they are taxed, thus allowing the government and the public at large to easily forget that there is a tax being levied in the first place, and;
4. This makes it too easy for the tax to be increased by fiat, any time they feel like it. And don’t tell me that it will have to be voted on, because when you rob Peter to pay Paul, you can always count on the support of Paul. In other words, those constituents who benefit from government giveaways will always vote in favor of increased taxes. Eliminating giveaway programs is first and foremost at the heart of the problem, not eliminating the IRS. And:
5. Wasteful spending by the fed will not change just because the money comes from a different place. Reform needs to be based in correcting the problems that we know exist now, not in changing the source of revenue.
6. In addition, there must be serious reform of the corrupt cycle known as lobbying. When a politician can be persuaded to vote in favor of passing a law for a particular corporation to receive money based on the amount of begging and influence peddling they engage in, this is a problem. The Fair Tax will not change this.
7. Also, the government is in the habit of ignoring the will of the people in the first place, so what will stop them from simply printing more fiat money any time they feel like it? The answer is NOTHING. And:
8. Last but not least is the fact that taxes, like the economy, trickle down to the bottom. When corporations are taxed, industry wide, they do not actually pay the taxes directly. They either move the operation to a tax free environment, thereby eliminating American jobs, or they simply increase the cost of the end product to cover the increased taxes and the CONSUMER pays a higher price at the end of the line. So poor people end up paying the increased taxes levied against the “evil rich and competition will not keep corporations from raising the price of their products, due to the fact that the regulation or tax that increases those costs for a product are levied against an entire industry all at once, in order to make it “fair”. Some perfect examples are cigarettes, alcohol, beef, milk, etc. You name it, the fed has found a way to tax or regulate it, INDUSTRY WIDE. They don’t just tax or regulate one company, they tax them ALL, and the CONSUMER PAYS THE BILL. The Fair Tax WILL NOT CHANGE THAT. That’s trickle down economics 101. If you need proof, check the latest tax returns filed by Goldman Sachs, AIG, etc. You’ll see that not only were they able to differ an income tax liability of TWO BILLION DOLLARS by shipping jobs over-seas, they actually qualified for a TAX CREDIT of over ONE BILLION DOLLARS MORE, on top of that! We must eliminate the IRS AND STOP THE PAYMENTS. Not change the way they get the wealth.

In conclusion,

It is safe to say that the Fair Tax will do ABSOLUTELY NOTHING to change what’s wrong with our federal government in terms of how they borrow and spend and print new FRN’s (Quantitative Easing), anytime the Fed says it’s the right thing to do. Not to mention the Fair Tax does nothing to address the fact that they routinely ignore requests now for freedom of information and Redress of Grievances in regard to taxes and other issues. The fed will not change their attitude until “We The People” force them to.

Stop the "voluntary compliance" with the misapplication of the current Internal Re-Venue Codes. This would immediately cripple the fed and wake them up. The Fair Tax WILL NOT! Instead, it will bury the issue of an overblown and corrupt government and put it on the back burner of the American conscience. People will continue to fund a corrupt, wasteful, SOCIALIST government. That’s why I don’t like the Fair Tax.

Comments?

[Mike]

I have read the book by the authors of "The FairTax". When you look at their goals, it sounds like an excellent method to collect taxes. It's undoubtedly fair and easy to manage, it does entice companies to manufacture within our country and a gazillion other magical end results.

But, I have a sorry feeling the entire excercise is yet another magicians illusion. As usual, we need to go back-to-basics and ask some simple questions befroe jumping in with both feet.

1.) Do we honestly need to collect taxes the way we do now OR in some OTHER new and creative way? Here's why I ask. The "Grace Commission Report" from, I think 1984, concluded , '... not one nickle of our income tax goes towards running the general government ...". So why do we need ANY method to tax us directly at all? As in most unsolved crimes, detectives resort to the "follow the money" motive.

2.) So, where does OUR fleeced tax money really go? The conspiracy theory types say that it's laundered through the federal reserve and is exported to the international bankers. Is this true?

    2a. It has been proven that the FR creates money out-of-thin-air. If so, how can anyone charge interest on money that never was? Where is the at-risk deposits from investors or depositors"? Interest is the REWARD of investing. Where is/was the investment capital?

    2b.  Where has the the interest gone? The FR is charging interest, so who have they paid it out to? Why have they paid it out? Do the recipients deserve it lawfully? I want to know where the money trail goes. All money has a papertrail, except this one. Why does the trail magically evaporate?

   2c.   What happens if America defaults on our national debt? Think about it! WHO are we cheating out of their hard earned and lawful investment? Where is their promisary note?

3.) Does the 14th Amendment make all of us slaves, by turning a Constitutional "state citizens" into" US Citizen" who is tax liable ? Hence "inventing" a taxable party, serf.

4.) Was the 14th Amendement properly ratified?

5.) Is the 16th Amendment constitutionally sound?

6.) Was the 16th Amendment properly ratified?

7.) Is the present USA a private for-profit corporation?

8.) Is the IRS a private corporation?

9.) Are today's courts, the ones hearing ALL IRS taxing matters, part of the above mentioned corporation? Is there a conflict of interest? Are they a private arbitration agency owned by the USA corporation?

10.) Has the IRS been operating on a 100 year "charter? We know that our founders desperately wished to NOT have a central bank. So much so, that when politically pushed, the early Colonial Congress reluctantly issued short 5 and 20 year charters to temporary and experimental central banks, and all failed. The responsibility to create interest free money was authorized to the Congress only. With this monetary freedom, why would any sane individual wish to give away the cow and buy the milk?

I have the feeling that the present newly instigated "tax reform" push is coming from within the federal reserve/int'l bankers. They know the "gig" is going to be up soon. People are doing their history and the truth is going to be common knowledge soon. However, if the Congress can pass legislation AND have it "Constitutionally Ratified" THIS TIME, there's no way for us to wiggle-out of our enslavement to the international bankers. The questionable 100 year charter may have just run out, and they need to replace the illusion with something new and improved! Am I correct on this line of thinking or have I missed something? I can't find any information on a charter being issued at all.

11.) Are all federal agencies and departments Constitutional in the first place?

12.) Why do we fund portions of government that aren't under federal authority according to the Constitution? Allow  the to states take over those responsibilities. We just cut federal liabilities to near zero!

After asking these historical type questions, I feel that the "FairTax" is just a shiny paintjob on an old inferior product. It's just a tax marketing attempt. One that could make taxing us legal. The big question is, "Is it necessary"? First, we need to justify the NEED for a tax.

There's another reason I am asking all these types of questions. All the supporting legislation and Amendments were created during a short period of time by a very small number of "players", from a past questionable Congress and invisible banker types behind the scenes. It all feels too much a coincidence that it all lined up very neatly. In politics, there are no accidents! All our problems today started "exactly" 100 years ago. WHY? And everything from Congress has been very shady ever since!

[Mike]

Sorry, I made a typo.

#10 Has the "federal reserve" been operating on a 100 year charter?

The IRS later became their collection agency.

[Morton Thomson Jr.]

Wrong Mike,

The IRS was actually created first to wit:

"The roots of IRS go back to the Civil War when President Lincoln and Congress, in 1862, created the position of commissioner of Internal Revenue and enacted an income tax to pay war expenses. The income tax was repealed 10 years later. Congress revived the income tax in 1894, but the Supreme Court ruled it unconstitutional the following year." - IRS.Gov

Then in 1913 it was officially back in business as the IRS when they passed the 16th Amendment, (Feb 17th or thereabout). This had to be accomplished first because the bankers wanted assurances that they would have a source of money coming in before they would commit to the new venture called The FRA. Makes sense when you think about it.

[Rene Stover]

Mike you are right, I have been saying the same thing for the last 10 years, but very few believed me or wanted to listen, I have believed the Fair Tax is a trap they are trying to set so we will have a legal tax, because they know that Americans are beginning to wake up, slowly, but waking up just the same.  That is also why I said the best thing that has happened for America is the Illegal in the White House, because it has brought attention that something is wrong like never before!  I am sorry, but the Fair Tax, and his stating that there is no reason that everyone could not have been financially well off, when we know that is simply not true, is the reason I quit listening to Neil Bortz years ago, as well as his cutting off anyone that disagreed with him.  I cannot help but feel that he considers himself to be in an Elitist Class.

[Osceola Renegade]

Here ye be

[Leticia Gascoin-Ruffie]

I thought that the 16th Amendment was never properly ratified.

[Morton Thomson Jr.]

You are exactly right Leticia,

In fact, as far as I know, this is the most comprehensive work on the subject so far.

https://www.thelawthatneverwas.com/

[Rene Stover]

This Nation rose to greatness when there was no income tax, and no property taxes, it began to be turned over to the International Industrial Magnates and Bankers afterwards, and now they own us, or so they think.

[Osceola Renegade]

If Congress adjourned as outlined at Start of Civil War without a established re-convene date, then Congress is still adjourned.  There was people in the House and Senate during Civil war and After Civil War, yet Martial Law was in force. So Congress was dismissed.

That merely means that procedural steps of law were not followed, and no Amendments to the Constitution since 1860 are valid.

Same for Fed Reserve, and IRS.  Corporations of the Corporate United States, not of the Constitutional United States.

The only option is that Governors have a right to RESET the Clock and with draw all setting Reps and Senators.  Then nominate the correct ones per law prior to Civil War.

38 Governors needed to pull this off.  But most are of the BUSH Cloth of ill repute and sponsor the ongoing slaughter of the United States.

So we have to get all new Governors First.

[Shavager]

The FAIR TAX is NOT an income tax--it is a national sales tax at approximately the same level that ALL taxes built into consumer items are today--23%.  Americans will receive their FULL paycheck, short only of state income taxes since the Fair Tax only eliminates SS, Medicare, Income taxes--taxes on income at state levels are not affected.  TAXES will be paid on exempt items such as necessities like medicine, food, etc...but will be PRE-bated to citizens at beginning of each month based on a national scale dependent on an individual or family status and how many members in the family.  The FEDS will NOT have any reason to know HOW MUCH you make in income, there will be NO REASON to stash corporate money overseas and that money will COME HOME for investment, business expansions or startups. ALL FEDERAL TAXES WILL BE COLLECTED AT THE CASH REGISTER AS NEW ITEMS ARE BOUGHT AND SOLD or services rendered from professionals.  NO TAXES on used or second hand items--this would benefit the low income people IMMENSELY, another plus would be the encouragement for the low income/lower middle class to SAVE MONEY in savings accounts, the only taxable income will be what the consumer SPENDS, hence the CONSUMER controls his or her/family taxes.  You can bury your head in tax reform like Steve Forbes--a "FLAT TAX" but FLAT taxes were put into place under Reagan and again under George W. Bush but the next president and Congress always has the power to raise those taxes again--so FLAT is never what they remain. FAIR TAX requires the ABOLISHMENT of the IRS and Income Taxes--there would be NO way to raise a TAX that's no longer legal--they could raise the national sales taxes, but it requires 2/3 vote in both Houses of Congress.  The purpose of the FAIR TAX is NOT to eliminate taxes to government--it is to FORCE Congress to use the available mechanism that the FOUNDERS suggested--sales taxes on consumer items bought and sold among the states and the peoples. Like the income tax--it will be UP TO THE PEOPLE how far they allow Congress to go but at least the war on the productivity of the worker would be ended, no matter HOW MUCH you work and earn, HOW HARD or LITTLE you work for it--they would have NO SAY over it, they would have NO need to even know your income level.

[Rene Stover]

Has anyone bothered to determine the cost of implementing the Fair Tax?  My guess is that much of the National Sales Tax (Un-Fair Tax) would go into implementation and collection, and enable another or more Bureaucracy, and eventually create justification for amending the law, so the rate can be increased, creating also a never ending erosion of Americans paychecks.  The Federal Government is not supposed to be in the Tax business, other than Tariffs.  Unfair Tariffs are one of the things that helped start the Un-Civil War.  You cannot trust Government with your wallet, plain and simple!  

[Rene Stover]

If one believes that creating a Fair Tax will end government grabbing for more, then you are not opening your eyes, it will actually give them another opportunity to take it legally, but in no way will it end there.  This whole thing we are discussing is about taking everything we have, including our lives.  The people behind this use government to force their will upon us, and take away our property, our rights, and our lives.  It never stops, we either get wise, and stand together and stand up to them, or one day there will not be enough of us left to stand at all.  The UN Agenda 21 Book clearly spells it all out, and it is based upon the Communist Manifesto, which is based upon the Protocols of The Learned Elders of Zion.