HUFFINGTON POST Article

[CJ7]

Originally Posted by Laz

I clicked the link and read about it. Their analysis was superficial and by no means comprehensive. If I understand you correctly you believe the middle class will bear a greater burden. If you consider they get to keep all of their pay, the prebate, the tax only being on new items, and that the taxes the rich currently pay are passed on now, your argument has holes in it.

The article also says they do not have to pay tax on all of their income and the rich have more to save. Incentivizing savings and investment is good for our economy but even if you ignore that the rich will buy goods and services way out of proportion to those with lower incomes and pay much more in taxes.

What other specific things do you have a problem with?

exactly who gets a prebate check

[Laz]

Originally Posted by CJ7

your speculation is right and someone elses speculation is wrong


thats not handing anyone their ass, its your tired old ass yammering the same old shit

I know you get off on the name calling but how about trying to be analytical. If you are not interested in having a rational discussion fine just say so. But if you are, then please explain how we are better off with the current system. Being able to deduct things like mortgage interest does not make the current system better. Thinking the rich pay more does not make the current system better. How does the current system enhance the economy and indirectly everyone in it better than the fair tax.

[Laz]

Originally Posted by CJ7

exactly who gets a prebate check

That was in the link Chica posted. But just to let you be lazy since I am often that way:

All qualified families are entitled to receive the monthly prebate. A “qualified family”
consists of all family members sharing a common residence. Family members include an individual and
his or her spouse, children and grandchildren, parents and grandparents. Children/students living away
from home are considered family members if they are registered as a student for at least 5 months out of
the year and receive at least 50 percent of their support from the family unit. Children of divorced
parents are considered to be family members of the custodial parent. Incarcerated individuals are not
eligible to be a member of a qualified family.
In order for a person to be counted as a member of the family for purposes of determining the size of the
qualified family, a person must have a valid social security number and be a lawful resident of the
United States. Unlike the Earned Income Tax Credit, the application/registration form that families who
choose to receive the prebate must file is simple and straightforward. Those choosing not to register will
not receive a prebate.

[CuteOldGuy]

Not to mention that under the FairTax, there will be no more incentive to shelter money overseas, which will increase deposits in domestic banks, which will increase the money available to loan, which will result in genuine interest rate reduction.

Further, since the velocity of money will dramatically increase, the FED (which should be abolished) will no longer need to pump money into the economy spur economic growth, which leads to lower real inflation.

I still don't see the downside.

[CJ7]

Originally Posted by Laz

That was in the link Chica posted. But just to let you be lazy since I am often that way:

All qualified families are entitled to receive the monthly prebate. A “qualified family”
consists of all family members sharing a common residence. Family members include an individual and
his or her spouse, children and grandchildren, parents and grandparents. Children/students living away
from home are considered family members if they are registered as a student for at least 5 months out of
the year and receive at least 50 percent of their support from the family unit. Children of divorced
parents are considered to be family members of the custodial parent. Incarcerated individuals are not
eligible to be a member of a qualified family.
In order for a person to be counted as a member of the family for purposes of determining the size of the
qualified family, a person must have a valid social security number and be a lawful resident of the
United States. Unlike the Earned Income Tax Credit, the application/registration form that families who
choose to receive the prebate must file is simple and straightforward. Those choosing not to register will
not receive a prebate.

I just want you to tell me from an income standpoint ..

never mind


The prebate – or “annual consumption allowance” – is designed in part to relieve poverty-level Americans by providing a monthly check that would essentially offset all of their sales tax expenditures. The amount of the allowance would be based on poverty-level guidelines and would increase for larger families.
Though the prebate is geared toward poorer families, everyone would receive monthly checks, regardless of income. The prebate brings up yet another point of contention between critics and supporters. It is the most expensive element of the entire plan, would be the largest entitlement program in American history, and would constitute a welfare payment, even for those without a need. In other words, a two-parent billionaire household with two kids would receive the same monthly prebate as a two-parent, two-child household struggling to get by on $20,000 per year

[CuteOldGuy]

Everybody gets the prebate who is in the country legally. It is based on household size.

It is designed to reimburse people for purchases up to the poverty level, so in effect, the truly poor will pay no tax. They don't pay that much now, mainly just payroll taxes, so they will actually make out better with the prebate, in addition to being able to keep their entire paycheck. They will probably also benefit in the demand for labor, and have their wages increase, or be able to find a better job.

I personally don't like the prebate, I'd rather see the tax eliminated on food, prescription medications and other items deemed necessities. But it's not a dealbreaker by stretch. Still far and away a better program than we currently have.

[Laz]

Originally Posted by CJ7

I just want you to tell me from an income standpoint ..

never mind


The prebate – or “annual consumption allowance” – is designed in part to relieve poverty-level Americans by providing a monthly check that would essentially offset all of their sales tax expenditures. The amount of the allowance would be based on poverty-level guidelines and would increase for larger families.
Though the prebate is geared toward poorer families, everyone would receive monthly checks, regardless of income. The prebate brings up yet another point of contention between critics and supporters. It is the most expensive element of the entire plan, would be the largest entitlement program in American history, and would constitute a welfare payment, even for those without a need. In other words, a two-parent billionaire household with two kids would receive the same monthly prebate as a two-parent, two-child household struggling to get by on $20,000 per year

It may sound wrong but if you think about it the household with minimal income will spend far less on food and other items than a high income household. The result is the higher income people pay more. If you did it by making essentials like food tax free the high income people would benefit more since they will likely spend far more on food and buy items that lower income people can't afford.

[CJ7]

yeah, a bank president making 300K a year can use a prebate check

why should I pay for that?

[CuteOldGuy]

Yeah. I don't like the prebate, but it is not a deal breaker. The FairTax is by far a superior system than the one we have now.

[CJ7]

Originally Posted by CuteOldGuy

Yeah. I don't like the prebate, but it is not a deal breaker. The FairTax is by far a superior system than the one we have now.

so youre a socialist ...

[CuteOldGuy]

How does that make any sense whatsoever? You are almost as stupid as Ekim.

[CJ7]

Originally Posted by CuteOldGuy

How does that make any sense whatsoever? You are almost as stupid as Ekim.

where does the prebate $ come from

[Laz]

Originally Posted by CJ7

yeah, a bank president making 300K a year can use a prebate check

why should I pay for that?

You are not paying for it. The guy making 300K a year will be paying far more in taxes than his prebate check covers. The guy only making the 20K in your example probably will not pay more in taxes and possibly less so you might be paying for some of that.

Think about how this would tax the underground economy that exists. That could generate billions in revenue.

[CJ7]

Originally Posted by Laz

You are not paying for it. The guy making 300K a year will be paying far more in taxes than his prebate check covers. The guy only making the 20K in your example probably will not pay more in taxes and possibly less so you might be paying for some of that.

Think about how this would tax the underground economy that exists. That could generate billions in revenue.

exactly ... the rich"er" are paying for the less fortunate who cant afford to spend more ..

youre another socialist Laz , say hello to your socialist brother, COF.

[CuteOldGuy]

Keep trying. You are almost as stupid as Ekim, but you're getting there, CBJ7. The prebate doesn't even come close to resembling socialism, but you are too dumb to get that.

Tell me, what is free market about our current system that you love so much?