I still like Senator Cruz Tax plan. Eliminate the IRS and 10% across the board. Sure would be easy
Me too!! But pipe dream unfortunately.
I am always amazed at the folks that think you can actually do away with the IRS.
Do you really think everyone will all of a sudden become honest and pay their taxes?
That's why a set sales tax (fair tax) on purchases across the board is a much better proposition.
Wrong again. The States have sales tax auditors all over the country trying to get businesses to pay their sales taxes. I would estimate that Alabama alone misses out on collecting at least 1/2 BILLION annually. So what makes you think everyone will pay it on the national level?
The state collected $2.2 Billion in sales tax alone. Is there really $.5 billion uncollected...22%?
From the AL Annual Report:
During fiscal year 2015-16, the Sales and Use Tax Division conducted 3,327 audits. Audit collections, refund reductions, delinquents, license amounts, and assessments totaled $43,888,243.00.
During fiscal year 2015-16, the division entered 24,663 preliminary assessments, totaling $43,538,332.41 and 7,039 final assessments, totaling $18,986,608.35. The Sales and Use Tax Division collected $3,814,244.15 in payments for both
preliminary and final assessments during 2016.
But you do have a really good point on delinquent payments impacting the Fair Tax system. POS (point of sale collection) is nice, but it requires the business to pay what they are supposed to pay after they receive it. good insight!
