Subject: Tax reform Comment: I believe our current tax system is hurting our economy. We are currently taxed when we receive our money, and then taxed again when we purchase something. I say we are taxed when we purchase something because we, as consumers, are actually paying the taxes that are paid by businesses anytime we purchase something manufactured in the US. In order for a business to be profitable it must factor all of its expenses into the cost of making an item, and then add its profit margin. Not only are we paying their taxes, but we are also paying for their accounting expenses in keeping track of their taxes. We need a system that eliminates hidden taxes such as these and is fair for all individuals. We also need a system that doesn't require effort on the part of the tax payer to remain in compliance. We need a system that will promote decreasing our trade deficit. The only tax program that could do all that is a Federal Sales Tax. All businesses would be tax exempt. This would lower prices by the amount that they are currently being taxed, which would in turn, allow prices to remain much the same as they are now even with the added sales tax. US manufactured goods sold over seas would not be taxed (hidden, or otherwise) which would make them more competitive world-wide. Foreign manufactured goods sold in the US would be taxed, making them more expensive, and the US manufactured goods more appealing. Individuals would never have to worry about filing deadlines or IRS audits due to errors that they made on the complicated forms. There would be no forms! The proposal that I believe would work the best for the US tax system is currently in both the House and the Senate. (HR25 and S25) It is also detailed on the web at http://www.fairtax.org It is time for a FAIRTAX. |