What would be bad about repealing the income tax?

Why wouldnt it be a more equitable system if we abolished the income tax,taxes on savings,estate taxes etc.And replaced it with a 1cent federal sales tax on purchases?Several states do not have an income tax

Public Comments

1. 1 cent? 1 cent? Dude, it would take a 30% sales tax to begin to bring in the same money! And guess what, rich people don't spend all their money--they have enough not to, so they will actually pay less. The poor will run out of money so the government will help them out with even more aid. So...the people in the middle (me) are going to be socked with the difference. Rich people DO pay most of the taxes on the 1040 system. Just because you think they are all cheating on their taxes does not make it true. As for the states without an income tax, please move to my state. You can pay 8.25% sales tax *and* property taxes that are 8 times higher than those states that have an income tax. If I lost my job in one of those, my taxes go down. Here, I get the annual bill that asks for even more money....
2. Because in 5 years or less politicians would decide they need more money and the income tax would be restored and the federal sales tax would still be in place.
3. It does not follow the Hagel/Marx AGENDA of Barak Obama and his fellow travelers with dictates no encouragement for personal respondsibity! "If I don't have it , you shouldn't either." Eliot Spitzer was quiped, long ago or was it McGrevey! Maybe even some other DEMOCRAT that has defied the 10 COMMANDMENTS! They do not declare they are sinners , do they? They got money, but no class?
4. Two problems. 1) A 1% tax, which is what I assume you mean by a 1 cent tax, would not begin to cover the federal budget. Even the 23% tax in the Fair Tax Act of [insert year here] is considered too low by some economists. 2) A flat tax on purchases will hit the poor harder that the rich, because the tax will be a larger percentage of their income. More important, it will be increase the bare minimum required to make ends meet. For each of us, there is a revenue level, not necessarily easy to compute, below which we could not survive. Bill Gates could lose a huge percentage (probably in excess of 99.9%) of his revenue and still pay the rent and never miss a meal. Many low income families could not survive a 1% decrease in revenue, or a 1% increase in costs.
5. Well, 1% wouldn't even come close to funding the government, so say goodbye to most of the government services. It would have to be more like 25-30% or more to fund at the current level. And of course that would hit everyone including people too poor to pay taxes now.