Category Archives: FairTax

Both the FairTax people in the United States and Americans abroad outside the United States are fighting for changes in U.S. tax policies. A move to the FairTax system (national consumption tax) would make U.S. citizenship taxation irrelevant and solve the problems experienced by Americans abroad.

July 5/22: An Opportunity To Educate Resident Americans About The Horrors Of Citizenship Tax

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Updated July 5, 2022 …

Great discussion with Bob Paxton and Bob Scarborough:

An Opportunity To Educate Resident Americans About The Horrors Of US Citizenship Tax

First a special thanks to Joe Howard who arranged for this opportunity.

On Tuesday July 5, 2022 at 8 pm EST (20:00) I (John Richardson) will appear on the Fair Tax Power Radio Show. The Fair Tax Power Radio Show is hosted by Bob Paxton and Bob Scarborough. The show is for the purpose of educating US residents about the (1) the problems of the U.S. income tax system and (2) the solution by moving to the Fair Tax. You can learn more about the Fair Tax in my recent blog post found here and on the Fair Tax site. I suggest that you follow their Twitter feed at @FairTaxOfficial.

The Topic: How The US Tax System Disables Americans Abroad From Financial and Retirement Planning and How The Fair Tax System Would Solve This Problem

You understand the problem. You understand the pain. You understand the fear. You understand that you may be forced to renounce U.S. citizenship.

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As Goes The “Fairness Of Taxation”, So Goes Civilization: It’s Time To Consider The “Fair Tax”

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Introduction

I was recently introduced to the “Fair Tax“. My introduction to the “Fair Tax” was enhanced by the opportunity to host Jim Bennet and Steve Hayes as guests on my podcast. I encourage people to listen to these podcasts here, here and here. You will appreciate the character and commitment of Mr. Bennet and Mr. Hayes.

In simple terms, the “Fair Tax” would replace Subtitle A (Income Tax), Subtitle B (Estate and Gift Tax) and Subtitle C (Employment Tax) of the Internal Revenue Code. These Subtitles would be replaced with one National Sales Tax (currently proposed to be 23%). A general description of how the Fair Tax is envisioned to work is available here. Because the U.S. would no longer be trying to exercise tax jurisdiction outside the United States, it would no longer have to be concerned with the complex rules of international tax, no longer have GILTI and Subpart F rules and U.S. citizens would be free to live outside the U.S. without having the problems of having to comply with two tax systems.

(Notice this means that the U.S. would be taxing ONLY domestic consumption. The U.S. would no longer be taxing income driven by events outside the United States. Because the U.S. would be taxing activity ONLY in the U.S., it would have a “territorial tax system“.)

The purpose of this post is to argue that the adoption of the “Fair Tax” is both better tax policy, but also tax policy that is consistent with the nurturing and growth of a nation that believes in (to borrow the language of Ronald Reagan) the “freedom and dignity” of all Americans. By “all” Americans, I mean Americans who live inside the United States and those who live outside the United States.

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