Is there any country that has a "Fair Tax"?

A national sales tax, that is. Watching the Republican debate this morning makes me think that if any of them but Rudy wins, we're going to have to fight this fight. I just can't see where it would work. I don't feel like rehashing arguments against it (there are just too many) but I'd like to know if anyone else is doing this or has done this and if it worked.

My favorite was Mitt Romney who wants to have the option for a Flat tax! Maybe we could do taxes like Price Line - name your own tax! You can negotiate with William Shatner until you get a refund. The next best was Rudy, who hinted he wants no taxes. Coupled with an extremely costly war in Iraq, I'm sure that would work.

but it is 8% and isn't the only source of national income as the loonies (pun intended) who support such an idea here propose.

I was just reading in France, they get 45% of their revenue from a VAT tax.

Oh, they SAY it will but it CAN'T.

Why? (top of my head - not comprehensive)

a. Most states still have income taxes. That means that you'll still have to do all of the bookkeeping that you presently do. Even if the Fed income taxes were to be eliminated, you'd still have income taxes.

b. Many savings have already been taxed. People who propose the "FairTax" don't understand taxes. For example, the Fairtax assumes that everything is starting out as equal, like we've just been born and we're all living on an island.

For ONE example: if you've worked, and paid taxes, and put that already taxed money in a savings account - you've paid your taxes on that.

The Fairtax people would now want to TAX IT AGAIN when you spend it.

I would REALLY like the time to pick this FairTax thing apart and make a comprehensive debunking website, but I simply don't have the time...

people don't understand taxes. I'd really love to do a de-bunking website also, but I'm afraid I'm too mentally lazy and would get bored with it before finishing :)

They would say, yes
Next i would ask, are tax increases fair? They would say um, ah, well,?

I'm all for some kind of consumption tax. That's one way to generate more revenue that would actually rationalize some of our rather skewed priorities.

But like the guy above said, it can't be the only source of government income. I still support a progressive income tax.

I also favor this approach. A specific tax should be used to pay for universal health insurance and similar programs. Progressive income taxes would be levied on upper income brackets and used to fund defense, interest on the debt, general government, etc.

Most people have ground it out, if they are interested in thinking it through, by age twenty three, that a flat tax just doesn't work. You can't equalize taxes without equalizing opportunity, work value, physical and mental acuities, and luck.

You can't have a consumption tax or a national sales tax as the primary funding for federal operations, since that's just another form of flat tax and assumes some things about government and people that I do not.

the people pushing this say it will simplify taxes, but the tax brackets are the easiest thing associated with income taxes. They give you a tax table, what the hell else do you want?! it's not like you have to sit there with a TI-85 and figure your taxes for each bracket. The complicated thing with the income tax is all the credits and deductions and if you get rid of all that, it would hurt families and people trying to get an education and so on, so I don't see that as a good option. Funny how they don't mind a little complexity when it differentiates Cap Gains income from W2 income and helps them get out of paying taxes.

They have all the money. Where else do you expect to get it?

Where would that get us? If you took all the money away from all the people that make a million or more a year how long would that run the Govt? 6 months? more or less? We get taxed enough as it is. I have an idea lets get rid of all the ididots that decide where our tax money should be spent.

He suggested a 14% value-added tax for everyone and a flat income tax for everyone who make over $100,000. No income tax for anyone with less income. I think the idea has some merit, but I feel that millionaires should be taxed at a higher rate than families who are less wealthy. Also, I think that the highest rate should go back to what it was when Reagan took over, which was 50%.

Here in Holland (and I believe it applies to all EU countries) there is a national sales tax of 0%, 6%, 12% or 21%, depending on the nature of the item or service.
As already mentioned, this is not the only source of income for the government. In addition to that there is (federal) income tax, road tax, city tax, sewer tax, polution tax and probably a few more that don't spring to mind.