Mike Huckabee's Fair Tax Plan is the most innovative and forward thinking tax plan that has come out since the Reagan era. Huckabee's tax plan replaces a complex taxation system that places the burden of taxes on individual productivity with a tax system that places the burden on taxes at the point of spending.
Huckabee's Fair Tax says, earn all you want and pay taxes when you spend. The Fair Tax also provides a built in rebate system for low earning and poor individuals by rebating them for the taxes on groceries, medications ect. Since states already have a mechanism for collecting state sales taxes, the feds can easily have the states collect the national sales tax and sent it on to Washington DC.
The proposed tax would be 23%. You spent $100.00 and you will pay $23.00 in a national sales tax. If your salary is $1,000 then you will receive a paycheck for $1,000. You pay taxes only when you spend. If you think 23% is too high or too low, then the beauty of Huckabee's plan is that is the only tax that we Americans can squabble about on the federal level. We no longer will see all these hidden taxes taken from our paychecks and it will be up to elected officials to divvy up the revenue for whatever programs they deem necessary from the 23%.
Politicians for too long have tickered with the tax code for political gain. Huckabee's plan is the right eway forward and as more and more people examine it honestly, the more and more it makes great fiscal sense. It puts taxation back where it belongs and that is in the hands of the people.