Candidates, authors express support for FairTax proposal

Thomas Grundmeier

Iowa voters concerned about reformation of the U.S. Tax Code showed their support of the FairTax plan Aug. 11 at Stephens Auditorium, as part of the Iowa Straw Poll.

Proponents of the bill were given an opportunity to expound upon their position and support.

“If we’re going to transform public policy and replace the dreaded income tax that is so hurting our country, we’re going to have to speak with one voice,” said Ken Hoagland, FairTax.org special consultant and national spokesperson.

The FairTax plan is a proposal that would do away with all federal income taxes and payroll taxes. Government revenue would then be replaced by a progressive, nationwide sales tax, with all American citizens receiving tax rebates in the mail. The plan also allows for the abolition of the Internal Revenue Service.

Rep. Steve King, R-Iowa, asserted that the policy would help solve the problem of illegal immigration.

He said people “outside the legitimate sectors of the economy” – such as illegal immigrants – would become taxpayers, because under the policy, all consumers in America pay sales tax, whether they are registered under Social Security or not.

Rep. John Linder, R-Ga., co-author of “The FairTax Book,” explained how tax rebates would only be distributed to those registered under Social Security.

“The FairTax could prove to be more effective than the strongest fence we could ever build,” Linder said.

Neal Boortz, radio host and co-author of “The FairTax Book,” explained the benefits of the FairTax plan by referring to Barry Bond’s recent record-breaking 756th home run.

Boortz said the ball was valued at about half a million dollars – all income, he said.

Under the current system, hesaid, the man who caught the ball would have to pay almost half of that in income taxes. Under FairTax, he said, all the money from the ball would be the fan’s, tax-free.

Boortz explained that approving the FairTax plan was in the United States’ best interest. It would make the United States more desirable for foreign business, he said.

“When a country implements the FairTax, they become the number one tax hater in the world,” he said.

Two presidential candidates – businessman John Cox and Rep. Duncan Hunter, R-Calif. – and former Wisconsin governor Tommy Thompson appeared to give their support of the bill.

Of the GOP candidates, only three – Sen. Sam Brownback, R-Kan., former New York City mayor Rudy Giuliani, and former Massachusetts governor Mitt Romney – do not support the plan.