Conversations on more than 50 actions to expand freedom in the United States
We tax the manufacture of exports. We let imports come in tax free. Our tax system creates huge trade deficits and jobs overseas and kills jobs at home.
Donald Trump would renegotiate trade agreements. Hillary Clinton would oppose trade agreements she previously favored. Neither would solve the problems caused by a tax system that needs to be replaced, not reformed.
Instead of taxing payroll, corporate income and personal income, we need to tax consumption. Exports would become competitive. Imports would get taxed. The playing field for manufacturers would be level. Jobs would be created at home.
Only a national sales tax like the FAIRtax would accomplish this. Every household would receive a monthly check to pay the tax needed to spend at the poverty level. Retailers would include the FAIRtax in the price of goods they sell and send the FAIRtax to the state agency that collects sales taxes. The agency would forward the federal portion to the Treasury. Both trade deficits and the IRS would go away. The economy would soar.