Fair Tax in 2012

By Bob Keefe
The Atlanta Journal-Constitution

WASHINGTON — Congressman-elect Rob Woodall campaigned on the Fair Tax idea that his former boss, retiring Rep. John Linder, has championed for years.

Woodall won the right to represent the conservative 7th Congressional District in northeast metro Atlanta, in fact, mainly because he out-Fair Tax-talked his Republican primary opponents.

Fair Tax supporters basically want to abolish the Internal Revenue Service, get rid of the federal income tax, corporate income taxes and other federal taxes and replace them with a national retail sales tax. Doing so, they say, will decrease the overall tax burden on consumers, reduce government spending and stimulate the economy.

So it wasn’t surprising that Woodall’s first meet-and-greet with the Washington press corps last week focused on his plans to reintroduce the Fair Tax bill that Linder has pushed for in Congress since 1999.

Between now and then, Woodall told me, he is busy rounding up a new posse of supporters on Capitol Hill.

“I only made one campaign promise,” he said. “If you elect me, you will see me put more co-sponsors on Fair Tax than ever before.”

Already, Woodall has 55 co-sponsors (10 former co-sponsors aren’t returning in January) and has talked to at least 10 new Congress members who support the idea, he said.

With one of the biggest influxes of newcomers to Congress in recent history, and Washington intent on overhauling federal spending and taxes, Woodall and his former boss say there has never been a better time for the Fair Tax idea.

“He [Woodall] is in a perfect position, with a lot younger legs than I have and a lot more fertile mind,” Linder said of his successor, protégé and former chief of staff.

Doing something as radical as abolishing the IRS and income taxes will take more than just dropping a bill in Congress, both Linder and Woodall acknowledge. That’s why both mentor and protégé also are working on making their Fair Tax idea an issue in the 2012 Presidential campaign, just like Republican primary contender Mike Huckabee did in 2008.

“Whenever you want to make huge changes or have big ideas, the President really has to lead the way,” Linder said.

The time for tax reform is now

President Obama is right about one thing; it is time to reform our federal tax system. And, the only system that makes sense for America is the FairTax plan.

What is the FairTax plan?

The FairTax plan is a comprehensive proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue neutrality, and, through companion legislation, the repeal of the 16th Amendment.

The FairTax Act (HR 25, S 296) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.

The FairTax taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax is a fair, efficient, transparent, and intelligent solution to the frustration and inequity of our current tax system.

The FairTax:

  • Enables workers to keep their entire paychecks
  • Enables retirees to keep their entire pensions
  • Refunds in advance the tax on purchases of basic necessities
  • Allows American products to compete fairly
  • Brings transparency and accountability to tax policy
  • Ensures Social Security and Medicare funding
  • Closes all loopholes and brings fairness to taxation
  • Abolishes the IRS

Americans for Fair Taxation, “www.fairtax.org,” offers a library of information about the features and benefits of the FairTax plan. Please explore it!