Congressional Democrats and Republicans are calling for “tax reform” in this lame duck session. Anticipating this, the Florida legislature sent a bold message to both parties earlier this year: Abolish the IRS and end the current Income Tax system.
Senate Memorial 118 expresses the will of the Florida House and Senate. It calls on members of Congress and the President to eliminate the following: “the personal income tax, the alternative minimum tax, the inheritance tax, the gift tax, the capital gains tax, the corporate income tax, the self-employment tax, and the employee and employer payroll tax.”
To replace all taxes on income, the Legislature called for a national retail sales tax; specifically, proposed legislation already before Congress in the forms of H.R. 25 and S.122, better known as the “FairTax®.” As written, the FairTax would raise the same amount of revenue for the federal government. It would also defund and eliminate the IRS over a three year phase out period.
After approval of several committees by near-unanimous vote, the proposal was adopted by the Florida Senate on March 20, and by the House on April 9. It was forwarded to Florida’s Secretary of State, who sent copies to the President, Vice President, and all members of the Florida delegation in Congress.
While states can’t make those in Washington, D.C., do anything, it is significant that leaders of the 4th most populous state would call for such sweeping changes. Also, as one of seven states that have no income tax, Florida is leading by example.
“The federal government, too, should have no taxes on income,” says Mark Gupton, Managing Director of the Florida FairTax Educational Association.“Under the FairTax we would be taxed on what we spend, not on what we earn.”
Without federal withholding, every worker would see a dramatic increase in take home pay.
To learn more about the FairTax and how you can help make it the law of the land, go to www.FairTax.org.for the national website. In Florida, visit www.flfairtax.org.
