I’m about three-quarters of the way through Neal Boortz and John Linder’s NY Times Bestseller “The Fair Tax Book” and can’t say that I agree with their endorsement of the “Fair Tax Act of 2005.”
While researching alternative perspectives of the FTA I found an article written by Laurence Vance of the “Ludwig von Mises Institute,” an Alabama-based Libertarian think-tank, where he points out the “real problem” with this proposal by using FairTax.org‘s own words with my emphasis:
We are not calling for elimination of federal taxation, which would be irresponsible and undesirable. Nor does our endorsement call for reduced federal spending. The tax reform plan we endorse is revenue neutral, collecting as much federal tax revenue as the current income tax code, including payroll withholding taxes.
The FTA does not eliminate the IRS, it renames it. The FTA does not reduce government spending it actually creates language making it EASIER for government to increase taxes later on. It does not repeal the 16th amendment (Which requires a Constitutional Amendment) but provides Congress with the ability to implement the income tax again after the FTA is passed!
As Vance points out in his article, even the “tax payer’s friend’ himself, Congressman Ron Paul (R-TX), is absent from the co-Sponsor list for the FTA. Ron Paul sums up this whole situation quite nicely:
“The real issue is total spending by government, not tax reform.”
And that is what it comes down to. Big Government could care less how you feed its addiction, just as long as you keep feeding it!
I’ll finish the book and research the FTA further, but as of right now I don’t see it changing the way ‘the beast’ does business, just the way it gets its money.