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Old 10-20-2013, 01:08 PM
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JJIII JJIII is offline
AKA Sister Mary JJ
 
Join Date: May 2009
Location: Upper East Tennessee
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Quote:
Originally Posted by icenine View Post
So Biff at the Seven-Eleven enters your purchase of Old English 800 into government data base.......it would have to be tied to your ssn in some fashion. Or when you buy a table at the Ikea store maybe you swipe a national id card with your SSN so the IRS knows what you bought and how much tax you paid?
Nope. The tax is not tied to you personally at all. The Feds have no idea what you bought. The tax is built into the price of the item. That's as far as it goes. Retail businesses collect the tax from the consumer, just as state sales tax systems already do in 45 states; the FairTax is simply an additional line on the current sales tax reporting form. Retailers simply collect the tax and send it to the state taxing authority. All businesses serving as collection agents receive a fee for collection, and the states also receive a collection fee. The tax revenues from the states are then sent to the U.S. Treasury. There would be no IRS as we know it. The bill does away with them over a period of time. They would have to hang around long enough to deal with tax cheats left over from out current system.

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Last edited by JJIII; 10-20-2013 at 01:19 PM.
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