FairTax would replace income tax

Editor,

I appreciate Chairman Greenspan's very positive comments on a tax replacement plan such as the one I support — the FairTax — and the significant, positive impact of a progressive national sales tax on the economic well being of this country.

Chairman Greenspan was right on target. Replacing the income tax is long overdue. HR 25/S 25, commonly called the FairTax, eliminates all personal, gift, estate, capital gains, alternative minimum, earned income, Social Security/Medicare, self-employment, and corporate taxes. The legislative package is revenue neutral for Social Security, Medicare and Treasury revenue, delivering the same amount of revenue as the current systems.

Calculations conducted by several nationally known economists, including Harvard's Dale Jorgensen, conclude these key components of the FairTax package will eliminate some 22 to 25 percent in tax costs hidden in retail prices today.

Then you add in the FairTax progressive retail sales tax of 30 percent (or said another way, an income tax equivalent of 23 percent).

This results in consumers paying close to the same as they pay now for products and services but with added advantage of a larger take home paycheck that is free of federal income and payroll tax deductions.

No withholding. No records. No receipts. No tax preparers. No tax software. No filing. No audits. No enforcement.

It is not surprising that the FairTax plan is finally getting the attention it has long deserved. Grassroots America knows it's the best plan. Learn more at www.fairtax.org

Alan Findly

Ronan