Ah, you're referring annual spending. Sorry; I was thinking individual spending items.
Ah. That would be rather silly, wouldn't it? Is there something I could have said to avoid this impression?
As for rally2xs:
The definition of "luxury" is buying new items for sale at retail or services above the poverty level.
Let me rephrase that - You give everyone enough money to pay the FairTax on everything they buy up to the poverty level.
There you go, him clarifying, at the very least.
We could check if annual spending total is above the poverty line. You could imagine some government entity-- let's call it "IRS"-- that makes people to fill out an annual form to account for the sum total of all their spending. Every place you spend money could send you a form at the end of the year, and you compile the forms and send them to this IRS, say in April, and they tell you whether your spending is above or below the poverty line...
Or, get this, we don't bother. We just send everybody the mandated precalculated prebate. Done, without lots of forms needing to be filled out. Electronic deposit is very very cheap. Especially at the levels the IRS does it at. In order to keep things simple (not a lot of forms), the tax is charged on everything the tax is supposed to cover, and "everybody" gets the same rebate.
I mean, we're totally adding up everybody's spending and sending it to the IRS on some equivalent of a 1099 why? What difference does knowing the number make to their tax obligation?
I think you're getting me and rally confused. He's the supporter of fairtax. I'm the guy who read up about it years ago during his more libertarian phase and thought it was an interesting idea. That said, I'm also something of a contrarian, so I'll let you know when I think there's a problem with your understanding or logic.
OK. I just think that giving everybody a UBI is important enough to not be sort of dropped in as a footnote that isn't even mentioned until people press for details."So, we give everybody $3,450" comes to a total of 1.2 trillion dollars. This is not a footnote.
It is when you're talking about getting rid of and replacing a system that hauls in $4.8T/year and replacing it with one that hauls in $6T (before sending $1.2T right back out).
And I wouldn't really call it a footnote, it's a core part of the proposal: "Replace the federal income tax with a federal sales tax. In order to keep it progressive, give everybody a prebate equal to the tax that would be paid on poverty line spending." Heck, in my "quick explanation" to you, it's the second sentence. First sentence: $4.8T of spending transformation, second, $1.2T of transformation. Hardly a footnote, but still lesser than the prior change.
It's like the second sentence in the "extremely short proposal" form. On their site, it's the 3rd paragraph.
That said, remember, I'm libertarian adjacent. The actual Libertarians and Republicans and such? They oppose UBIs pretty much on reflex (and I'm a dude who supports a UBI on libertarian reasoning). So, at least for them, you're selling them on the "get rid of income taxes!" first, and avoiding calling the prebate a UBI in order to not spook them.
I mean, it's funny, the only state in the country with a sort of UBI is Alaska, and it's republican held, and god forbid you try to touch the permanent fund dividend. But having it elsewhere? Oh no!