Constitution Party Makes the Case against the "Fair Tax"

From the Constitution Party discussion forum:

This is a text version of a research brochure we produced in WA and was approved on 16 April 2011 by the state committee as our official statement on the subject. The brochure format is available for download and print at: http://www.constitutionpartyofwa.com/for...xFacts.pdf

« The Fair Tax is an unapportioned direct tax upon the people. As such, it is not authorized by the 1787 Constitution, nor is it authorized under the 16th Amendment which changed the original intent of the founding fathers by implementing a personal income tax. Without seeing any constitutional authority whatsoever to support the case in favor of the Fair Tax, the Constitution Party cannot support it.

« The Fair Tax does not guarantee a lower overall level of taxation. In fact, it could result in a higher level of taxation than is currently being paid by Americans. The initial rate of 23%, coupled with the approximately 9% sales tax currently being paid by Washington State residents, would make a 32% tax rate with no guarantee against Congress raising that rate in the future.

« The Fair Tax does not provide a simplified means of taxation. It replaces one complex system of taxation with another that is equally convoluted. The only real difference is that it moves taxation from being placed on a person's income to being placed on their expenses. It still requires an annual registration of household members and their Social Security numbers.

« The Fair Tax continues and expands the welfare state. The "Family Consumption Allowance" (FCA) is provided to every registered household, regardless of income. If implemented, it is estimated that the FCA would constitute the single largest entitlement program in American history.

« The Fair Tax expands the size of government. It eliminates one agency, the Internal Revenue Service, but creates multiple agencies to in its place, including an Excise Tax Bureau, Sales Tax Bureau, and state agencies, where the primary collecting of revenues would take place.

« The Fair Tax makes states the primary tax collection agency.

The distinction between state and federal government is further eroded by making states the primary collection agency. It also requires state taxing authorities to annually register every household and household member in the state, accelerating the current trend towards treating states as mere political subdivisions of the federal government thus putting the Constitutional principle of state sovereignty (the 10th Amendment) in even greater peril.

NY-Gov: Green Calls for Stock Transfer Tax as Part of Green New Deal

From a letter to Press Connects:

Green Party gubernatorial candidate Howie Hawkins said that, as a part of his "Green New Deal," he wants to impose a sales tax on stock transfers. The tax would amount only to one-twentieth of 1 percent on each transfer and bring in an estimated $16 billion. New York state sales tax is currently 4 percent, and most counties have 4 percent sales taxes. So that would be asking the Wall Street brokers to pay their fair share in sales tax.

I have heard the argument that investors will take their money elsewhere. Those that may leave would no longer be Wall Street investors and hence should not command the benefits that go along with working in New York. Their shoes would be eagerly filled.
In any case, refunding the stock transfer tax has been a long-standing example of economic terrorism and we should stop turning a blind eye to it. Support the Green Party and progressive taxation.

Patricia Valek
Vestal

CT: Independent Points out Democratic and Republican Hypocrisy on Tax Policy, in Call for Expansion of Tax Base

From the Hartford Courant:

Marsh, the Independent Party candidate on the ballot for governor, says "everybody who is receiving a paycheck'' should pay into the state coffers — even if it is only $100 per year — in order to close the state's projected budget deficit of $3.4 billion for the next fiscal year. . . . 

Marsh rejected the views of those who say it is bad tax policy to impose a tax on the poorest residents. He pointed out that the state legislature has raised the cigarette tax multiple times — to the current level of $3 per pack — even though many poor people are smokers and are forced to pay the tax. The poor also pay gasoline taxes, Social Security taxes, sales taxes and other taxes.

GA: Libertarians Oppose Republican-Led Tax Increases

From The Weekly:

ATLANTA, Ga., (April 23, 2010) - Late Wednesday evening, both chambers of the General General Assembly passed legislation allowing counties to join into regions with taxing power to create funding for transportation projects, similar to how SPLOSTs and other local optional sales taxes work now.

While recognizing that traffic is a problem in Metro Atlanta and the rest of Georgia, the Libertarian Party has opposed this tax in previous sessions, and continues to oppose it now.

Libertarians reject the concept that we can tax ourselves into prosperity, despite the claims of the so-called "Get Georgia Moving" coalition. This will be one of the largest tax increases in state history, coming on the heels of a deep recession.