Congressman Steve King explains how adoption of H.R. 25, the Fair Tax, would strengthen the American economy.?
In this video Congressman Steve King (R-Iowa) describes a conversation with Alan Greenspan regarding the FairTax plan. He then goes on to give an excellent explanation of exactly how the FairTax would bring jobs back to the U.S. and help turn our economy around.
King made this statement shortly after attending a 12/09/10 press conference in which he joined Congressman John Linder, Congressman Tom Price, Congressman Phil Gingrey and Congressman-elect Rob Woodall to call for passage of HR 25 in the 112th Congress.
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.
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
Jack Goodman is another popular candidate for the Missouri District 7 Congressional seat, so I decided to take a look at his position on the FairTax plan.
The Web site for Mr. Goodman’s candidacy, www.JackGoodman.org, does not specifically address the issue of tax reform. Nor have I seen his position on tax reform stated in any printed materials. So, I made a call to the number listed on the Web site and asked. I was told that Mr. Goodman does indeed support the FairTax plan, and that if elected he would not only support it but would work to promote it as a U.S. Congressman.
In an interview conducted by KY3 News on July 19, 2010, Mr. Goodman had this to say when asked about his view of the FairTax initiative:
“I support the FairTax with minor modification and think the economic potential is tremendous, especially if we are able to pass a federal version. In 2009, I was the Senate handler for Missouri’s version of the FairTax. The FairTax is transparent, eliminating the hidden layers of imbedded taxation in the retail price of products. It also forces those who currently evade taxation to pay their share, such as drug dealers, illegal aliens and those in organized crime. The Fair Tax would also be a huge incentive to bring manufacturing jobs back to America.”
While I would have liked to see a more demonstrative statement of his support of the FairTax plan in his candidacy materials I have to conclude that Jack Goodman is certainly worthy of consideration for the Missouri District 7 seat. I’ll leave you to evaluate his position on other issues, but as for the FairTax plan I believe he, ‘gets it.’
The Congressional race for the Missouri District 7, U.S. Representative seat is wide open with eight Republican and two Democrat candidates competing in the upcoming primary. There is no incumbent in this race as Congressman Roy Blunt is making a bid for the Senate seat of Senator Kit Bond. So, the question is where do these candidates stand on the FairTax?
Billy Long seems to be leading the pack of the Republican candidates so I decided to take a look at his position first. Mr. Long seems like a strong candidate in most respects, but unfortunately when it comes to the FairTax his position is a little weak and muddled. In his ads online and in print he indicates that he is in favor of “Fair Tax” (with the space between the two words). There’s a big difference between “Fair Tax” and the FairTax plan. Everyone claims to be in favor of “Fair Tax.” That is not specific support of the FairTax plan. In fact, Mr. Long’s stance on the issue of taxes states, “Billy is open to either a flat tax or a fair tax as a way to fix our tax system.”
This is like saying, “I’d be happy to take more poison or the antidote as a way to recovery.” The tax on income is the fundamental problem, and no amount of tinkering with it is going to fix it. Mr. Long’s openness to a flat tax indicates that he either doesn’t truly understand the problem, or he wants to ride the wave of support for the FairTax into a Congressional office.
I placed a call to the offices of ‘Billy Long for Congress’ to confirm his position on the issue, and was told that although his first choice would be the FairTax he is also open to a flat tax on income because of the difficulty of getting the FairTax passed. I’m sorry, but this is exactly the kind of wishy-washy stance we do not need in Washington.
There is no ‘either, or’ in the issue of tax reform. This Country will crumble under the weight and corruption of the income tax system, and we need representatives that understand that and are eager to fight for a new future. Accepting more of the same just because something is better than nothing isn’t going to cut it any longer. The only solution to our Country’s fiscal woes is to rid ourselves of taxes on income. Anything less is just politics. I wish Mr. Long all the best, but at this point I couldn’t vote for him.
Everywhere I turn lately someone is asking me to sign a petition or urging me to contact my elected representatives regarding some issue or other. Most of them are excellent causes and worthy issues. Some, I believe, are critical and I readily take action.
I believe our current income tax system is the biggest roadblock and heaviest anchor to our economic recovery. I believe paying taxes to support my government is a duty, but paying taxes on my earnings turns that duty into a penalty. It is fundamentally wrong to penalize people for striving to succeed. I believe a national sales tax, such as the FairTax plan, is the best solution, and so I gladly write my representatives concerning tax reform.
I believe energy independence is vital to our security as a people and our sovereignty as a nation. There are people in the world who want to conquer us, enslave us and kill us, and every time we put gas in our cars we are sending them money to support their efforts. And so, I contact my Congress-people regarding energy issues.
I believe that power corrupts and absolute power corrupts absolutely, and so I shout helplessly into the wind as I watch our government grow ever larger and take liberties and use powers that are not theirs to take or use.
And so it goes, signing petitions, writing letters, making and taking calls. On the upside I have witnessed more civic minded action and sincere discussion in the last ten months than I did in the previous thirty years. Or perhaps, it’s just that I am more in tune with societal happenings than I was before. On the downside I see people wringing their hands with worry and wonderment at the actions of our government leaders. We’re frantically signing and writing and calling and trying to make our voices heard, but it seems no one on the hill is listening.
It feels like we’re all on a bus and Obama is at the wheel. We’re headed straight for a cliff and all the people are shouting, “Stop! Turn! Slow down!” But, he can’t hear because he has his I-Pod cranked up and his vision is set on the blue sky beyond the cliff. And the Democrats of Congress and the media are all standing between Obama and the people and shouting just as loudly, “Sit down and shutup! He knows where he’s going.” And we shout and we shout until there’s nothing left to do but scream as we hurtle into the abyss.