Posted: Apr 26, 2005 By: Jeff Haugh

Comment: April 24, 2005

Distinguished Panel Members:

During your crucial upcoming deliberations, I urge you to give the greatest consideration to Congressman Linder’s proposal for a national retail sales tax to replace all current aspects of the federal income tax code.

Any retainage of an income tax will represent no progress. Regardless of the rate, the calculation of income is the basis of the corruption in our current tax code, and is largely responsible for the soon-to-be catastrophic drop in national compliance. We simply cannot afford to run the country’s affairs while collecting only 75% of the revenues due (your own GAO’s estimates, I believe).

Adopt the retail sales tax in its simplest form. Collect from everyone. “Prebate” only to those who are documented citizens (this problem will only get larger in the future—the Fair Tax solves this problem neatly). Reduce the role of government to two items: (1) determining the rate and (2) determining how to spend it.

Thanks for your consideration.

Jeff Haugh
Westminster, Md.