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BILL OPENS DOOR FOR ELIMINATION OF STATE INCOME TAX
An amendment that would implement the FairTax plan in South Carolina passed the state House Wednesday, offering hope of a reformed tax code.
Rep. Rex Rice (R-Pickens) introduced the amendment to S. 12 to further accomplish the bill’s goal of “maintaining and enhancing the state as an optimum competitor in the effort to attract businesses and individuals to locate, live, work, and invest in the state.”
“Eliminating the state personal and corporate income tax would create jobs and make it easier to live, work, and invest in South Carolina,” said Rice, a proponent of the FairTax.
The amendment was passed by a vote of 66-47. But the full bill must still pass the House.
“Federally, the FairTax would cut taxes, increase take home pay, bring jobs and investments back from overseas, and actually stimulate the economy,” Rice said. “On a statewide level, it should do the same and that is exactly what South Carolina needs.”
The FairTax plan is a comprehensive proposal to replace all income and production-based taxes with consumption taxes. Most notably, it would do away with the Internal Revenue Service.
I didn’t realize Rex Rice was a client of yours. Good to know.
fogler,what passed the house?
Tell the truth to your readers. This article is not even close to what passed the House.
I am a big supporter of the FairTax and want to see it enacted nationwide. This would be the biggest stimulus we would see in our lifetime.
Depends on the “Items” consumed. Food and clothing taxes are regressive as Hell. Luxury goods especially luxury cars are fair game. Look at Texas for a balanced consumption tax code.
Since it is a very regressive tax on consumption and would shrienk the disposable income of the vast majority of South Carolinian’s as well as lower state revenues and further bankrupt a broke state government, is it really a good thing?
Does this consumption tax include things like the ‘consumption’ of stocks, realestate, services, or is it just on stuff like groceries and school clothes for kids?
If we do away with the Dept. of Rev. who in the hell is going to enforce this ridiculously poorly thought out scheme?
I understand that it is a chance for coporations reduce there tax liability significantly at the expense of the other 95% of us, but is it really a good idea? Probably not a question worth asking before such implementing such a radical and ill conceived idea – full speed ahead! Eyes shut.
To Silence Dogood
Your questions clearly show that you haven’t studied this proposal, since those points are all clarified in the Fair Tax books. My eyes aren’t shut–I’ve read every book on this proposal and gone to local meetings. I’ve studied it extensively and your questions would be answered if you took the time to do the same. As for ill-conceived, it’s one of the most studied proposals ever put before our government. Millions of dollars have been spent on studying and clarifying this plan and similar plans have shown themselves to be very effective in other countries. It has dozens of qualities besides simply abolishing the IRS. Check it out. If you still disagree at least your opinion will have value based on knowledge.
Truth is Silence Dogood is exactly right, I have read the Book and lots of research and I know the book is one sided . Everyone fighting for this fairtax is doing so because they believe they will better them selves by paying less tax and if they do then the tax rate will have to go up, WAY UP!! its the nature of it, if you spend less then you pay less, BUT then you have saved to the point of costing people jobs and at the same time the tax rate will have to rise.
They say it a Voluntary tax, I don’t see how the FairTax is Voluntary. Have you ever read the Bill judy483, Unless you live in a tent on someone else’s land and grow your own food and walk everywhere it’s not voluntary, because everything’s going to be taxed, RENT, FOOD, BANKING, EVEN FREE CHECKING, BABYSITTING, HEATH CARE, CAR+HOME INSURANCE, POWER+PHONE+CABLE BILLS, EVERY DOLLAR TOWARD GAS + HEATING OIL It even Taxes THE GOVERNMENTS- FEDERAL, STATE & TOWN, EVEN GOVERNMENT EMPLOYEES, IT TAXES EVERYTHING, even your Childs LITTLE LEAGUE BALLGAME,+ CHURCH FUNDRAISERS GETS TAXED!!. .
PLEASE DO GO SEE!!! and while your at it read and understand the whole thing. http://www.fairtax.org/PDF/PlainEnglishSummary_TheFairTaxAct2007.pdf
A little info for you. The FairTax is a 30% exclusive sales tax and you will not have a larger pay check, The employer gets to keep the part you currently pay toward taxes, Should read Boortz straightening out some confusion page. Here is a little of what Boortz explains and I think this sums it up pretty good -( “Does this 22% include the income and payroll taxes that are paid by employees? Yes, it does. So … what does this mean to your paycheck after the FairTax becomes law? When the FairTax is implemented, and when business and personal income and payroll taxes disappear, your employer is going to have to make a decision. He will either take some or the entire amount he had been withholding for federal income and payroll taxes and add it to your weekly check, or he will readjust your pay figures so that your entire paycheck will be equal to what you used to call “take home pay” before the FairTax.”)–http://boortz.com/nuze/200509/09152005.html
Judy843 – thank you for the retort, and with your well studied information on this subject could you answer for me the basic questions I asked about above? whether or not this change in S.C. taxes, if approved, would also create a consumption tax on anything other than store bought itmes like houses and realestate, as well as stocks and services? Also, it appears that it would shift the burden of most taxes away from corporation only to be left with consumers.
This may be answered in the literature you discuss, but who would enforce these policies if there were no revenue agencies and why in the world would anyone who lives in South Carolines 20 counties that border another state ever make anything more than incidental purchases in this state again? (That is aside from the fact that multiply our sales tax by several factors would usher toursim away from this state forthwith). Please inform.
If the answer about the state dept. of rev. is the same as I have read in books on how the national fair tax would abolish the IRS, then it really is a sham. People would submit reciepts along with amounts of income every month and get a rebate check from the government if they were below a certain level – so effectively instead of filing once a year and waiting 2 months for a check or sending in a bill, it multiples to 12 times a year for a much larger number of Americans (i.e. those who normally don’t have to file taxes for whatever reason). This does not sound like an abolition of the IRS and sounded to me, in the information I have read and discussed with alleged ‘informed’ individuals about the proposal; The likely outcome is the government would actually get a much more in deepth and expansive sneak peak inside just about every transaction you make if you were to file for a rebate. Not something I am interested in either.
You have to be kidding me. Who would exchange no state tax, for a tax on everything. The poor, elderly, umemployed do not generally pay much income tax but they eat, pay rent, go to the doctor when they can afford it, get gas-even for an old car etc: And anyway, why would I wish to pay taxes on everything I buy, especially now that I can almost get senior discounts. Do not let these people fool you. This can not pass.
truthls,
its a 23% sales tax NOT 30%
I suspect that if the mean spirited facist majority in the legislature passed this, it is anything but FAIR!
http://www.wolfereports.com/?p=1188
Man, it’s amazing to me how so many people are “well informed” but completely wrong.
The Fair Tax is the best shot we have at regaining freedom in this country. We currently are all debt slaves to the US government and while they promise us tax relieve they do nothing but squander our freedoms. Are you all enjoying your extra $400 a year that you earned that the government allows you to keep? Awful nice of them, ain’t it?
I’m extremely glad the states are starting to adopt the Fair Tax and I hope this puts pressure on the people in Washington.