TAX WHAT YOU DON'T WANT, NOT WHAT YOU DO:

Instead of debating who pays their fair share of taxes, let us take another approach. Let me introduce the FairTax.

The FairTax would eliminate the federal income, payroll, and estate and gift taxes, replacing them with a revenue-neutral national 23% consumption tax. This dramatic overhaul of our tax code would allow people to keep every cent of their hard-earned money and give them the freedom to spend as much or as little in taxes as they decide.

Instead of pumping the IRS full of cash to hound taxpayers and invite political abuse, the FairTax would rid us of the need for an IRS, and the Gordian knot of credits and loopholes in our tax code would be a thing of the past. This means no more IRS, threats of audits, and hours that citizens and businesses spend on filing taxes.

The FairTax would capture tax revenue from anyone spending money in the United States. This means not just Americans, but also visitors, illegal immigrants, and that 61% of people who paid no federal income tax last year. Through the FairTax, it is a certainty that everyone pays their taxes.

While normally such a tax would disproportionately affect lower-income people, the FairTax accounts for that by providing a "prebate." The "prebate" is an advance tax refund to every legal American family up to the national poverty level at the beginning of every month to purchase goods and services tax-free.

The FairTax actually taxes everyone, American or not, while encouraging economic growth, being more efficient, and being more productive. Many states have already seen success with this approach. States such as Florida and Texas, two of the fastest-growing states, have no income tax and are attracting more and more people from higher-taxed states, such as California and New York.

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