First, it is important to note that the federal income tax is much more regressive than we think. The fact is the poor and middle class carry a substantial hidden income tax burden. When a welfare recipient goes to buy a loaf of bread even though they pay no income taxes directly they will end up paying the income taxes and substantial compliance costs of the farmer, miller, baker, distributor, shipper and retailer that are hidden in the cost of that bread. Second, the sales tax is much less regressive than is commonly believed. Ultimately, all income is consumed.
Savings is simply a deferral of consumption.
Therefore, all workers will pay no taxes up to the poverty rate. Those below the poverty rate will pay no taxes at all. The myths and lies surrounding tax reform have deep roots that need to be dug up and exposed for what they are. You will play a large part in this by helping others to understand these simple concepts and communicating this knowledge to your elected representatives. Mr. Prouty gives NRST presentations to groups throughout the U.S. Please join us on that day to show him a warm CATS Las Vegas welcome.