In the United States labor has often conflicted with management. There have been riots and strikes that resulted in people dying and property being destroyed. However, there has always been an awareness of the importance of labor.
My grandfather, a life-long employee, used to say that the reason Labor Day was a holiday was clear--almost everyone provided labor. Politicians saw it was a good way to curry favor and on June 28, 1894, Congress passed an act making the first Monday in September of each year a legal holiday.
Abraham Lincoln, himself a laborer for many years and then an attorney, said, "Labor is prior to, and independent of, capital. Capital is only the fruit of labor, and could never have existed if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration."
TAXING LABOR
It is interesting that everyone seems to agree that labor is very important but Congress and the D.C. Elites see no problem with taxing labor directly and punishing it. We all know that if you want less of something, you punish it. Taking money through taxes is a punishment. Instead of rewarding labor, they tax it.
The most regressive tax is the Social Security and Medicare tax--the payroll tax. This tax starts at the first dollar and continues until the worker earns $127, 200. It doesn't matter how many children you have or any other mitigating factor. If you can cloud a mirror with your breath and are working, you pay the tax.
Then you have the income tax. Obviously, "income" means that you tax the money received from your labor. Since almost all of us did not inherit large amounts of money, we make the money we require through our labor. Since we have almost all worked under the income/payroll tax system, we have all received less for our labor and have been punished by the higher rates if we worked hard and our labor was more rewarded.
LABOR AND THE FAIRTAX
All taxes take away money from our ability to consume. However, if you want to encourage labor then it is time to stop taxing it. If you want more labor reward it. The FAIRtax only taxes your consumption. The more money you make the more you keep. You pay taxes when you consume. Because of the tax credit/prebate, the FAIRtax doesn't tax the basic consumption of a family up to the poverty level.
Congress and the Elites think nothing of punishing labor. They ignore the effect on the family of four making $30,000. They don't pay income tax but they pay 7.65% of their $30,000 in Social Security taxes. This not only punishes the family's labor but reduces to $27,705 the amount they have to spend for necessities.
Under the FAIRtax, the family would have all $30,000 to spend because the FAIRtax tax credit/prebate eliminates any FAIRtax resulting in a boost of $2,295 to spend—almost an 8% raise. Then factor in the fact that prices will likely go down by at least 10% and the family now can purchase $33,000 of goods for $30,000.
This means that, under the FAIRtax, this family that relies on its labor to live is effectively $5,295/year better off. Of course, if they spend money on used items they would owe less tax and could apply the unused tax credit/prebate to more spending.
CONCLUSION
If the politicians want to reward all of us, they should immediately stop punishing all of us who work for a living and depend on our labor. As columnist George Will said, "Money is time made tangible - the time invested in the earning of it. Taxation is the confiscation of the earner's time. Although some taxation is necessary, all taxation diminishes freedom."
Celebrate Labor Day but also realize that no matter what the politicians say, they really show what they think of labor and all of us outside of their favored circle when they insist on keeping the income/payroll tax to punish those of us who are laborers.
If we don't continue to tell the truth and demand a change, then this quote from George Orwell's 1984 may foretell our children's future:
“If you want a picture of the future, imagine a boot stamping on a human face—forever.”
WHAT CAN EACH OF US DO
Call up the local or D.C. office of the House Member and two Senators and you can use the following script:
- I am sure that Representative ____ or Senator ____ is in favor of everyone obeying the income tax laws.
- After they assure you that their boss is not in favor of anyone breaking the law, ask if they are aware of the Cebula study showing $9 trillion of evaded income/payroll taxes over the next ten years.
- Since most will say they don’t believe their boss has seen the study, either drop off a copy or get an email address and send a copy to them for their boss.
- Say you are going to call back in a week and ask what the Representative or Senator is going to do to stop this evasion.
- In a week, call back and ask specifically what the Representative or Senator is going to do to enforce the law.
- They probably will say their boss believes that simplifying the income tax will handle the problem.
- Explain that when people evade income taxes, they are also evading the 15.3% payroll/Medicare tax and state income tax. So it is unlikely that they are going to pay 30% or 40% when they were paying 0% because they have already decided it is okay to cheat.
- Say that the only way to reduce evasion is to increase by tens or hundreds of thousands the number of comprehensive IRS audits done each year.
- Point out that Evaders do not self-identify by putting an “E” on their income tax return.
- 80% of the people likely to be audited are trying to comply, but they will be forced to endure these IRS audits as well.
- Ask if the Member is in favor of this?
- If they say no, then ask again how the Member proposes to stop people breaking the income tax laws.
- Then explain that the way to handle evasion without unleashing the IRS audits is the FAIRtax.
HELP BRING ABOUT REAL TAX REFORM AND STOP FUTURE IRS ABUSES
Because of the varied attacks on the Ryan/Brady income tax plan, the White House has announced that they need to start over to determine the best tax plan to propose.
Abraham Lincoln said, “Things may come to those who wait, but only the things left by those who hustle.”
We may only have a limited time to stop the fake tax reform being promoted by some in Congress. If it passes, then the Elites will say that we need to wait before we consider any more changes. To stop this fake reform, we must be able to ensure that our message is clearly heard not only by Congress but also by President Trump. To do this we need your help.
By contributing (investing) $10.40 per month, you help provide a financial base to AFFT. If you can make larger contributions (investments), these will be used not for salaries, as we are all volunteers, but for the needed updates to our economic studies which will be vital in 2017.
Please go to this link to invest in AFFT and in your and your family’s future.
THE FAIRTAX AND STATE SALES TAXES
FAIRTAX POWER RADIO EPISODE #72
Will the FAIRtax be added to the state sales tax I’m already paying? This was the question from a recent FAIRtax Guys Facebook LIVE event and it deserves a detailed answer. After all, it’s great idea to get rid of the income tax and the IRS but we don’t want a huge sales tax either. Fear not, The FAIRtax Guys explain how the price of goods and services will not climb through the roof when the FAIRtax is implemented. In fact, as you’ll see in this episode, people will generally end up with more money in their pockets with the FAIRtax. The FAIRtax Guys love doing episodes based on listener questions, so enjoy this episode and don’t hesitate to contact them if you have a question about the FAIRtax.
Last week, The FAIRtax Guys talked about the best features of the FAIRtax. So listen and then try to decide what you think the best part of the FAIRtax is. Is it that you get your entire paycheck? Or that your family comes first with the FAIRtax, not the federal government? Maybe it’s that your hard work and productivity are not penalized. Or maybe it’s the Prebate. This is a really tough choice since there are so many good results from passing the FAIRtax. The FAIRtax Guys lead the discussion to try to determine “What makes the FAIRtax fair?”
PLEASE HELP US spread the word about the FAIRtax and FAIRtax Power Radio. Telling your friends and relatives about our free weekly podcasts is a great way to help us garner more support. Help us keep America informed for it is the American people who must demand REAL tax reform in Congress.
You can listen to FTPR on any platform - Mac or PC, iPhone or Android. And it’s 100% free.
Listen on Spreaker, iTunes or iHeart Radio on your computer or smartphone. Spreaker, iTunes and iHeart all have free apps. But the easiest way to listen to FTPR on your smartphone is by downloading the free FTPR app. Just search for “FAIRtax Power Radio” in your app store, download the app and start listening. As stated earlier, we post a new episode every Friday morning. Please listen in and tell everyone you know about the FAIRtax Power Radio podcasts.
As stated earlier, we post a new episode every Friday morning. Please listen in and tell everyone you know about the FAIRtax Power Radio podcasts.
Learn more. Get involved. Make it happen!
GET YOUR SIGNED COPY OF AMERICA'S BIG SOLUTION
America’s Big Solution is an introduction to the FAIRtax written by Terry Tibbetts, author of A Spartan Game: The Life and Loss of Don Holleder, with help from Ron Maiellaro, President of the Florida FAIRtax Educational Association. For a limited time, you can purchase a print copy, signed by both Terry and Ron from the FAIRtax Logo Store. Go online now and get your copy before they sell out.
America’s Big Solution is meant for people of any age who would like an introduction to the FAIRtax and would prefer to read about it rather than search online for Tweets, Posts and Shares.
If the FAIRtax Logo Store has sold out of the signed copies, you can buy an electronic or print version of ABS as follows: AMERICA’S BIG SOLUTION is available for only $2.99 for the Amazon Kindle, the Barnes & Noble Nook and Apple iOS.
You can purchase a print copy at the same Amazon link above for $9.25. Regardless of whether you choose the electronic format or the print format, you’ll find AMERICA’S BIG SOLUTION will give someone the boost they need to begin their study of the FAIRtax and the suggested resources to learn more. Buy AMERICA’S BIG SOLUTION now!
Links to More Information
These links will help you promote and support the FAIRtax, make yourself familiar with the links below. We always do our best to keep our AFFT community up to date, and you can stay ahead of the curve using these convenient sites.
- The website of Americans for Fair Taxation
- The FAIRtax website at which you can get involved to help make it happen.
- The Facebook page for Americans for Fair Taxation
- The Facebook page for The FAIRtax Guys
- The Twitter page for Americans for Fair Taxation
- PopVox - Connecting people and lawmakers for more effective participation and better governing
- YouTube channel for AFFT
- Provides FAIRtax promotional materials with authorized AFFT logos.
- Do your shopping, save money and support the AFFT
- The Official FAIRtax Logo Store
The FAIRtax Logo Store
Supplying Educational/Promotional Items
NEW-NEW-NEW
AMERICA'S BIG SOLUTION BOOKLET
AUTOGRAPHED
ENTER PROMO CODE FAIRTAX07 AT CHECKOUT TO RECEIVE A 20% DISCOUNT
ON YOUR ENTIRE ORDER PLUS FREE S/H DURING THE MONTH OF AUGUST.
AMERICA’S BIG SOLUTION BOOKLET
America’s Big Solution (ABS) booklet is an simple introduction to the FAIRtax℠ written by Terry Tibbetts, author of A Spartan Game: The Life and Loss of Don Holleder, with help from Ron Maiellaro, President of the FFTEA. While supplies last, you can purchase a hard copy of this 23 page ABS booklet printed July 2017 and autographed by both Terry and Ron. They are both volunteers continuously educating the public on the merits of the FAIRtax℠ and this booklet is an extension of their efforts.
The purpose of this ABS booklet is to introduce voters to the FAIRtax℠ concept. It is not a comprehensive treatment of the subject but rather a few pages to “wet one’s appetite” to get involved.
Accordingly, your LOGO Store is pleased to offer NEW AUTOGRAPHED ABS booklets for only $10.00 each PLUS free shipping PLUS another 20% discount during the month of August.
SO, your cost is only $8.00 in August per autographed ABS booklet delivered to your home. Great deal !! Remember to enter the discount code “FAIRTAX07” at checkout to receive your 20% discount.
Ron also co-hosts a weekly FAIRtax℠ radio show with Bob Paxton called FAIRTAX POWER RADIO (FTPR). This is a weekly podcast which you can listen to on any platform – Mac or PC, IPhone or Android 100% free. This volunteer team posts a new episode every Friday morning. Listen on Spreaker.com, iTunes or iHeart Radio on your computer or smartphone. The easiest way to listen to FTPR on your smartphone is by downloading the free FTPR app. Just search for “FAIRtax Power Radio” in your app store, download the app and start listening.
When visiting the Store to purchase your autographed ABS booklet, please consider other FAIRtax℠ promotional items. And remember, you will receive a 20% discount on your complete order when inserting the discount code (FAIRTAX07) upon checkout and of course, S/H is free.
The FAIRtax℠: Once You Understand It, You’ll Demand It!
Thank You For Opening The FAIRtax Chronicles, Our Sponsored Mailings
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