Mr. Bartlett fails to mention, among other things:
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<br>1) People should not be forced to figure out how much *they owe* the government and then be thrown in jail if they mess it up or get hit with fines. Our tax system puts the burden on the tax payer and then treats them like a criminal from day one. People shouldn't have to be afraid of their taxes.
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<br>2) Off-shore accounting wouldn't make much sense anymore.
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<br>3) Appreciation in asset values would offset increased purchase costs for new equipment. This asset appreciation is a strong boost to our weak manufacturing industry.
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<br>4) No more illegals avoiding paying taxes. No more tax loop holes for friends of congressmen.
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<br>5) Tax deferrence is no longer part of the value of a company. This saves American companies literally millions of dollars a year.
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<br>6) No capital gains taxes means increased incentive to invest. Lower cost of capital makes American competition in global markets much more viable.
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<br>7) Gives incentives to save rather than spend, which will over the long term appreciate the value of the American dollar, reduce national debt, reduce volatility of earnings and stave off inflation.
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<br>8) Now people have the option of how much taxes to pay. If a person becomes insolvent (unable to pay their debt), they have the option to reduce consumer spending to meet those obligations. Right now if your debt becomes unmanagable, you cannot opt to pay less income taxes.
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<br>I could go on and on about the long term benefits of this system, or I could go on and on about the long term problems with our current system, but frankly I don't have to. People are warming up to the fair tax idea because they look around them, see a nose-diving dollar, see a large disparity between upper incomes and lower incomes, see a plummeting blue collar employment situation, see income tax disparity between their earnings and retained capital due to cost of living increases and inflation and see that our income tax system <b>just plain sucks</b>.