Virgil Goode's latest panderment is this Fair Tax, which is anything but. It proposes to do away with income tax, in favor of a system where a 'prebate' of sales taxes and other taxes would be given for each person. Predictably, Virgil is not interested in covering just anyone. He has to interject his homophobia and detestation of minorities to where others would get a 'prebate', the children in so-called 'non-traditional' families would not receive the $108-180 that would go to everyone else.
From the Tom Perriello Campaign:
In Economic Crisis, Goode Proposes Raising Taxes on Middle Class Families with ChildrenOctober 28, 2008-Ivy, VA-In the middle of an economic crisis, Rep. Virgil Goode is proposing a tax plan that will raise taxes on middle class families, especially those with children. In a recent video of Goode speaking to UVA College Republicans, he reiterates his support for a national sales tax, but wants to amend the bill so children in "non-traditional" families will not get tax relief.
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"Middle-class families need more tax relief, not less, especially during this time of crisis. First, Rep. Goode puts out false ads and mailers about my support for tax cuts, and then he cooks up a plan that would be devastating to middle class families. Goode has already voted twice this year against middle-class tax rebates I support, and now signs up for a proposal that would hurt everyone making less than $200,000 a year," said Tom Perriello, his Democratic challenger. "And to target this punishment specifically against single moms or dads with children is completely out of touch. The fifth district needs a leader who will fight for real solutions to our economic meltdown and stand up for middle class families."The video can be seen at: http://www.youtube.com/watch?v...
An independent analysis of the national sales tax by the Treasury Department shows that people earning between $15,000 and $200,000 per year will pay more in taxes. The plan would most benefit those who make more than $200,000 a year. Under the national sales tax, the cost of nearly everything would rise by 23%, including groceries, gas, and doctor's visits. ( http://www.factcheck.org/taxes... )
Here is the transcript of Rep. Goode's comments about the national sales tax:
"I've got some caveats that I've talked to John Linder about. Like the prebate, which means a check in the mail every month for between $108 - $180 based on their calculations of what the person would need to file no sales tax to have food, heat, basic necessities. And, uh, they, they... I would want the prebate restricted to United States citizens.""I would also think that it would be better administratively to not have the prebate program for children. If you got 10 kids, you get, I think it's $180, you get $1800. Ten times 180 you get $1,800 just for children. The administration of that... because a whole lot of families now... the child doesn't...it's not your traditional family staying with the mother and the father. I don't know the statistics, but I suspect that probably half of the families or a third of the families are split families. The mother's someplace, and the father's some other place."
The prebates opposed by Rep. Goode are meant to offset the highly regressive impact of the national sales tax on middle class and working class families.
"Congressman Goode took a bad tax plan and managed to make it even worse for families in our area. This is not the economic leadership we need in these dangerous times," said Perriello.
This is why the Fifth District never gets anything done. For us, government is non-responsive and obviously worrying about Mexican flags outside Mexican restaurants, or making English the official language. Why not have a biofuels plant in Southside? Because the brown people may benefit. No SCHIP? That's because the totally human and totally unauthorized immigrants might benefit. AIDS help for Africa? Hell no. We don't need no stinkin' furrin' aid. They all hate us anyway.
Goodbye Virgil Goode. I won't miss you.
LOL!
If this is what Goode and Goodlatte are pushing, then putting all our hope of economic prosperity on the shoulders of consumer demand is crazy! Not saying our tax code is perfect my any means, but a progressive tax code is by far the most fair way to share the responsibility of sustaining our nation. Even Teddy Roosevelt was a staunch advocate of a Progressive Tax Code. So, does this mean that ol' Teddy is a Socialist?
By the way, the FairTax is only 23% if you figure it as "tax-inclusive." In other words, a $100 item will cost $130. If you calculate it as "tax-exclusive," the way sales tax is figured in this country, it's actually a 30% tax.
The craziest part of all of this is that it taxes "all new goods and services." Which means that Goode and Goodlatte would, in this economy, support a 30% tax on utility bills, gas prices, rent payments, school supplies, etc. Yep, the bill would include utility bills and rent.
Not only that, but it is extremely punitive toward people who didn't get prime mortgage rates. The bill taxes the amount of your mortgage interest that is above the long-term loan rate as figured by the IRS. Which means that, if your mortgage is at 6.5%, but that long-term rate is 4.24% (which is what it is for November '08), homeowners will be charged interest on the 2.26% interest that is above the long-term loan rate.
Oh, and that calculation regarding loan interest? That also applies to student loans.
When you get into the details of this thing, it's freaking insane. I happen to have studied it quite a bit and would be more than happy to talk to anyone about it, including the campaign, if you're interested.