No, because you leave out the prebate in your calculations. Go here and plug in your numbers. http://www.fairtax.org/site/PageServer?pagename=calculator
When I put them in it shows a net spendable increase of over 11 grand. On Sat, Jul 9, 2011 at 8:59 PM, Gruss Gott <grussg...@gmail.com> wrote: > > Maureen <mamamaur...@gmail.com> wrote: >> >> This is where your argument falls apart. The amount of money for >> someone who is at or below the poverty level would not decrease >> because they would receive the standard stipend to cover all sales tax >> they would owe. > > But doesn't your argument fall apart when you look at average middle > class tax burdens? Here's how I think it does: > > E.g. Let's suppose we take a family of 4 making 50k/yr, which was the > median income: > http://en.wikipedia.org/wiki/Household_income_in_the_United_States > > (1.) They're at 200%+ of the poverty line, according to the 2011 guidelines: > http://www.familiesusa.org/resources/tools-for-advocates/guides/federal-poverty-guidelines.html > > (2.) They pay 2.37% in federal income taxes (or ~$1185, if they had 3 > kids it's 0.3%!!). This number is calculated using the 1040 form > assuming married couple filing jointly, 2 kids under 17 that live with > their parents, $50k of income, standard deduction, and 4 exemptions > and $1000 child tax credit per kid. Note how conservative this is, > i.e. NO other deductions/credits (no IRAs, no home credit, etc etc) > that most people would have are included. If those deductions WERE > included the rate drops even further. > > So what would happen to this family under the "Fair Tax"? > > Under the FairTax system they'd now be getting hit with a "fairly" > substantial tax burden (Ha! Get it? "Fairly"?) when trying to buy > things like soccer balls and band lessons for the kids. Or haircuts. > Or school supplies. > > All of sudden to them, life just got 15-20% more expensive! That's a > MAJOR life hit. They might have to choose between paying mortgage and > having their kids get, say, math tutoring. > > Thus when you COMPARE tax burden of the middle class (and others!) > suddenly the "Fair" Tax looks pretty fecking unfair and pretty fecking > regressive > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:340178 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
