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[–] joethebob ago  (edited ago)

Consumptive tax is not a flat tax system and isn't in the 'Fair and Flat tax plan' so I'm not sure which specific plan you are talking about. A consumptive tax does little to nothing for lower wage people because they are using the vast majority of their money on said consumption.

The entire concept of pay in your wallet is somewhat spurious as you still have to pay the taxes regardless. There is of course some additional room for juggling finances and potential for interest/investment. But realistically, we aren't talking about people with significant disposable income here. Leaving a wholly uncollected tax bill to the end of the year would doubtless increase the delinquency rate.

I'm all for a vastly simpler tax code, but knocking down a building for plans on a paper napkin don't cut it in my book.

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[–] zambeezy ago 

Consumptive tax is not a flat tax system

Yes it is by the definition of the term. It is the same tax on a product, regardless of income. It is flat and consistent across all income groups

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[–] joethebob ago 

It is a fixed percentage but these are generally under the umbrella of 'Value added' or 'indirect'. Common convention use of 'flat tax' is going to be in relation to income.