Thread by @ExpatriationLaw

All #Americansabroad should listen to Steve Hayes of @FairTaxOfficial where he explains the #FAIRTax. Whether you agree or disagree he makes important points and many observations about the role taxation plays in America. Join movement 4 @FairTaxAbroad!

@FairTaxOfficial @FairTaxAbroad Current tax system is complex, incomprehensible, used to punish some and reward others and has expensive compliance and penalty costs. People don't and can't know how much tax they pay. Compliance costs are a "tax on tax". Here is a poster from the Washington, DC Metro (subway).

The #FairTax is a simple consumption based tax. Some describe it as a 30% tax on the purchase price. Others describe it as 23% of the total expenditure. If you spend $100 to purchase an item $77 would be the price and $23 tax. Or see it as $77 + 30% of $77 which totals $100.

Remember that the #FAIRTax is intended to completely replace all the other taxes: Income., Estate/Gift, Payroll, Social Security, etc. There are NO forms, returns or uncertainty with the #FAIRTax as described by @FairTaxOfficial. It is administered by those who collect the tax.

Notice that the #FAIRTax would make the USA a "territorial tax" country. The USA would no longer seek to impose US taxation on "foreign source" income (because it wouldn't impose tax on income at all). There would be no taxation of #Americansabroad. No @CitizenshipTax or #FATCA.

Adopting the #FAIRTax would also attract business to America. Think of it no income taxation and all the compliance costs and forms that go along with it!

There are some who object because they believe that the would benefit the rich and hurt the poor. But, the poor would get an automatic rebate (called a prebate) to ensure they paid no sales tax on a specified level of purchases. Whether it benefits the rich probably depends ...

It's worth noting that Florida and Texas have large economies. They operate perfectly well without income taxes. They both have sales taxes. So, this is possible ...

Why then do politicians object to the concept of the #FAIRTax. The answer is that the current system of complexity, uncertainty, penalties and high compliance costs gives them more control over the population.

The answer is that (as @FairTaxOfficial notes):

https://twitter.com/FairTaxOfficial/status/1670348616647467012

#Americansabroad should continue to fight for an end to @CitizenshipTax and #FATCA. But, one way to achieve this is to support the @FairTaxAbroad movement and follow @FairTaxOfficial. The #FAIRTax is H.R. 25 congress.gov/bill/118th-con… - "Once you understand it, you'll demand it!"

More about the #FAIRTax and the benefits to #Americansabroad in this twitter thread ...

https://twitter.com/ExpatriationLaw/status/1669784804429053952