The Fair Tax Act

The Fair Tax Act is a bill in the United States Congress for changing tax laws to replace the Internal Revenue Service (IRS) and all federal income taxes (including Alternative Minimum Tax), payroll taxes (including Social Security and Medicare taxes), and various other taxes with a national retail sales tax, to be levied once at the point of purchase on all goods and services. It calls for a monthly payment to all households of citizens and legal resident aliens as an advance rebate of tax on purchases up to poverty level. The sales tax rate is 23% (23 cents on every $1-calculated like income taxes).

Based on this information, I would have to agree that it sounds like a promising idea. A flat 23% tax rate, no matter what the income, that would be nice. But, with the financial deficit in the US, I don't think it will work. They would just have to create other ways to tax us to decrease the deficit. Also, since I am employed by the IRS, I would have to vote against the bill.

What are your thoughts? Would you vote to pass the bill?