Monday, April 22, 2013




It doesnt matter what slogans they use to sell it. What they  hid in the fine print matters.



Do you know that a tax base is?

It's what they tax. 


NIPA defines wages and pensions paid OUT by city county and states, as a "consumption expenditure"  according to Fairtax usage.  Therefore every city county and state has to pay -- for Fairtax math to work -- a 23% tax on all wage, pension and operational expenditures.

So your city county and state have to pay massive (over trillion dollars) of taxes over and above that retail sales tax they collect from retailers.

IN ADVANCE    Even capital investment -- building roads, bridges, and airports, would be taxed IN ADVANCE 

Do you even know what NIPA is?      Hell no you don't know.

Did any Fairtax book, any Fairtax speech, any Fairtax video, in 15 years, even hint at these massive other taxes?  HELL  NO. 

But that's how their math adds up.

These massive other taxes -- which the lying bastards never mention, much less make clear -- is  the basis for every tax in Fairtax.  Every dollar of revenue -- all 3.5 Trillion.

Only 1.4 Trillion is from retail sales.

NIPA's not even an accounting term -- and has nothing to do with taxes.  But Fairtax hustlers use it for their fraudulent (purposely misleading) fine print trick about what they tax.

NIPA defined "consumption expenditures" is a term these bastards just made up themselves.  It's Orwellian bullshit.   

NIPA defined taxes are not just on retail sales, but 300% more than that -- they tax, on paper, all Medicare and Medicaid spending, all military spending, all capital investments by all city county and states.

They tax -- on paper because of this bullshit term -- all wage and pension expenditures by all city county and states, all operational expenditures.

Sound like a simple personal retail sales tax to you?  Really?  If so, you are a dumb ass.  

You think it's just a personal retail sales tax, right?

Uh -- not even close.

Yes, they have a retail sales tax.   But they have 2 trillion dollars of other taxes, on top of that, paid separately from that. 

Why do they have these massive other taxes, in their math, and fine print?  TO MAKE THEIR MATH WORK, ON PAPER. 








The problem is NOT the retail sales tax.   The problem is -- the massive other taxes are impossible bullshit.  They can not be collected.

For example, all Medicare and or Medicaid patients who "consume" surgery chemo, and rehab of, say, 130,000 dollars, would personally owe over 30,000 extra in fed taxes.

Did you know that?   No, Fairtax math is not based on a retail sales tax -- their math (and fine print) is about 23% tax on all "personal or governmental consumption expenditures".   That is how their math adds up.  

A Fox news reporter asked Boortz if all cancer surgery is taxed -- Boortz said, "Of course".  23%.   Do you have exceptions for people on Medicare or Medicaid?   No, no exceptions. 
But how will poor folks pay that?   Neal Boortz said "it's not a problem" for all cancer victims to pay 23% on their "consumption" of goods and services "because we save them so much".

Yes, it's preposterous to charge cancer victims 35,000 in fed taxes, on Medicare or not.  Why have to pay massive fed taxes because you got sick, or your child did?


Boortz and others sold Fairtax as "voluntary" -- don't want to pay  8,000 sales tax on a new car? Buy a used car -- no Fairtax.

But have you ever heard of used cancer surgery?

How about used rent?  Renters could easily owe 3,000 a year in tax, on their rent expenditures.

How about used airline tickets, used gasoline, used home repair?

How about used food?  

How about used life insurance -- all premiums are taxed.  How about used dental care --that's taxed too.

How about use

A person whose child had high medical costs, say, could easily owe 50, 70 or even over 100% tax rates.   Remember they are taxed not on purchases, not on retail sales only -- but on all consumption.

Yes -- YOU think Fairtax is a retail sales tax. Only taxed on what you spend.  No -- thats only a part of it. To make their math work, Fairtax fine print and math, taxes all "consumption -expenditures". a bullshit term they made up, then tied that bullshit term to "NIPA"

See NIPA repeatedly in their math -- look at this.  That's NOT just retail sales. 


Got that  yet? They tax -- in their math -- whatever NIPA defines not as retail sales, but the drastically larger, all personal expenditure consumption, and all government consumption expenditures.

See this clever bullshit, from Fairtax document....

When they mention "taxable consumption" -- they include in that all wage pension and operational expenditures.   They include all capital investment expenditures.

That means they tax all wage pension and operational expenditures. It has to be sent in separately.   Yet they told suckers about the retail sales tax -- a small part of what they tax -- only.

Wages  paid out -- a "consumption expenditure."

Pensions paid out --  a "consumption expenditure"

Capital investments -- a "consumption expenditure"

Medicare patient's consumption -- a "consumption expenditure"

Oh yes, the retail sales tax is there -- but thats only a small part of it. Remember that.   


 That's the only way their math even comes close. 

Maybe they borrow to pay those medical bills -- doesn't matter.  The person using the goods or services is liable. That's what the fine print says, and that's how their math adds up.

Maybe they have insurance to pay those medical bills. Doesn't matter -- the person using the goods or services is liable, no exceptions whatsoever, that's now the math adds up.

WHy no exempt medical consumption?   Because they can't.  That would make the tax rate 35%.    

Why can't they exempt city county and states from the "expenditure" tax on wages, pensions and operational expenditures?

They can't -- that would make the tax rate over 50%.

To make their math add up on paper -- to show the suckers a 23% tax rate -- they had to tax all consumption, including consumption of all health care, and consumption expenditures of all wage, pension and operational costs.

That is how Fairtax math adds up -- by telling suckers one thing in books, videos and speeches, but in the fine print, an entirely different store.

  That's their trick.

Yes, they give the impression, by saying so, that Fairtax is a retail sales tax.  That's not true. Only part of Fairtax is a sales tax. 

Just like it's preposterous for Fairtax to tax all city county and states, deceptively injecting that into their fine print, and basing their math on it.

Cleverly stated -- in about 300 words total, in their one million words, in their official documents.

Like this tax on "Certain wages"  --  deep down in the fine print. Why say "certain"  as if it's a small detail?   See the math -- these "certain" wage taxes  ends up being a tax on all wage expenditures, all pension expenditures, all operational expenditures, on all city county and states. 

NYC would owe over 800 million dollars in that tax.  Why not say that clearly?  Why claim it's just a very personal retail sales tax?

That's just one example, they use terms like "Certain wages" deliberately to fool the stupid and eager gullible suckers.

It worked.


Yes, they tell suckers it's a "very simple"  personal retail sales  consumption tax, tax, that replaces all other fed taxes.

But in their official documents, it's a different story.   There, Fairtax public relations company, Beacon Hill,  SEEMS to repeat the fraud about just a retail sales tax, but in the footnotes, in the fine print tricks and in the math, they tax all expenditures, such as when a city or state "expends" pensions or wages, or capital investment,

If Chicago "expends"  100 million a year on wage, pension and operational expenditures for police and fireman -- Chicago would have to send in (remit) 23 million dollar tax.  The city council would have to pay the pensions, wages, operational costs, etc. 

But ALSO, on top of that, Chicago as a city would also have to pay the "Fairtax" of 23% on all that.  Try to grasp this. It's in their fine print, and their math is based on it.

Not just Chicago, but Cook County.  And the state of IL. Every city, every county, and every state.    Your city, your county and your state. 

IN fact, that tax, on wage, pension, capital investments, and operational expenditures, would be the biggest expense your city would have. Any expenditure (other than education expenditures) are taxed.

And look - really look -- at how  your city, and your state, and your county are supposed to pay these massive taxes.  It's cleverly in the fine print HERE. 

YOU pay it, in much higher state and local taxes, for one thing.

 Fairtax documents cleverly admit it,  read every word in their fine print.

That's right -- raise all tax rates at local, county, and state level.  

That's what they have cleverly tucked away in their fine print.

No, they don't tell you how much all city county and states would have to raise taxes.

Go on, ask any Fairtax spokesmen for a figure. A dollar amount. They won't tell you.

They will give you some bullshit about "Oh that won't matter, they pay it anyway".  Utter nonsense, this is a new and extra tax on top of the retail sales tax.

And their own clever fine print says -- they are supposed to raise all tax rates to pay it.  Got that?  That's in their fine print.

No, they refuse to tell you even the tax exists, so they sure as hell are not going to make it clear  --but testimony to Ways Mean Committee did address this point: all city county and state taxes would have to rise over 30%.




Bennett, Fairtax spokesmen, and an attorney, showed us the "legal basis" in HR25 for these massive other taxes.   These taxes are "clear enough already" Bennett said.

SO where was that nearly 2 trillion dollar tax, even mentioned in the fine print?

It's not -- never clearly anyway.

 A Fairtax spokesmen, James Bennett, after repeated prodding, finally showed us the "legal basis"  (meaning where they wrote it down)  for these massive taxes on city county and states.

This word -- in this definition.    We kid you not.  

One. Word.  Let me repeat that - ONE WORD -- in a definition, deep down in HR 25, according to their own attorney spokesmen, is the "legal basis" for the over 1 trillion dollar tax collectively on every city, every county and every state.



If you wonder why Fairtax goes nowhere - it's because it was already exposed as a hustle.

President Bush Tax Panel politely and in academic terms exposed the fine print tricks, like the clever bullshit Fairtax documents about their "tax base".

Tax base = what they tax. 

It was not that hard , the Bush Tax Panel, headed by William Gale, just had to read all Fairtax documents, very very closely.   Gale showed that without these massive "other taxes" (other than retail sales taxes) Fairtax would be 89%, not 23%.

Who paid for Fairtax buses, jets, paid spokesmen, and Beacon Hill fine print tricks?  We don't know. They wont say.

  The bridge work in California was a 6 billion dollar
capital investment.  Guess what -- California would owe a 23% Tax on that -- in ADVANCE  per Fairatx fine print.  Only in a footnote.  They never mention it, in 15 years, in any book, speech, or video.

Gee, I wonder why?  See their references to "NIPA"  in their document about their "tax base"?   Without these massive other taxes, hidden here, the Fairtax rate would need to be 89%

ONLY about 300 words, in all their documents, all their "research"  even mention these massive other taxes.  Yet that's what their math is based on.

Not just a wage, pension expenditure tax, but also all capital investments are taxed, -- in advance.   All operational expenditures are taxed.   How are they taxed? They are in "the tax base".    

          Of course, when Bush Tax Panel read the report by Fairtax on their own "tax base" -- the tax panel were not suckers watching FOX news and Hannity, who was paid to push Fairtax. Yes he was.

Bush Tax panel knows what a Tax Base is. You should too.  A tax base is what they tax.    Fairtax clever way of taxing all these other things, it to describe their "tax base"   and only there even mention these other things are taxed.  But they never say "WE TAX THIS"  they just put a few words in their document about tax base.

Testimony to Way's Mean's Committee showed the fraud  - simply stating in blunt terms  - these tricks. 

The massive impossible other taxes -- hidden in the fine print, are the problem.  Gale found WHY Fairtax had these massive hidden taxes too -- to make the math work.






CONSUMPTION?   Uh, watch out now....the person USING OR CONSUMING medicare and medicaid are liable for the tax imposed.  Why do that? To make the math (fraudulent math) work.

When I found these fine print tricks, and confronted Fairtax "experts"  like James Bennett, an attorney spokesmen for Fairtax,  he said "So what".

He insisted that is clear enough -- these few words -- to tell everyone about the taxes they would owe, including city county and states.

Do those words make it clear to you that all city county and states, all Medicare patients, all Medicare patients, would owe huge taxes? HELL NO.

But that is how their math works. Remember that. THAT IS HOW THEIR MATH WORKS.


Bennett said Fairtax has "no plans"  to explain these other taxes further, because there is "no need". 

Fairtax - - to this day -- have never explained or even estimated this massive tax for any city, any county, or any state.

No wonder they won't talk about it -- it's a big part of their fraud, their hustle. 

Yet that is what's in the fine print, if you read all their documents closely.


We need a new tax code, which is why we supported Fairtax early on.   Then we read the fine print.  


Just a "very very simple" tax?  

Only a small part of Fairtax is that retail sales tax:    To make their phoney math work, on paper, Fairtax has 2.1 Trillion dollars of other taxes, cleverly written into the fine print.

Do you rent?  That's taxed 23%

Do you buy insurance -- health insurance?  That's taxed 23%

Do you or your children go to DDS? 23% tax  

Do you eat?  That's taxed 23%

Do you  heat your house?  Taxed 23%

Do you cool your house?  Taxed 23%

Do you pay health insurance?  Taxed 23%




Are you on Medicare, or Medicaid?  Your "consumption" of that is taxed 23%  . Yes -- really.   That's in their math. It's not only in their fine print (deceptively) -- remember this, it's how their math adds up.

It's not the retail sales that's a problem. That's fine. But if they only taxed retail sales, the tax rate would be 89%.

Does your city or state even know about these huge taxes they would have to pay on wages, pensions and operational expenditures?

Your city would not just pay taxes on retail sales --  that's peanuts compared to the massive taxes on wages and pensions, on capital investments, and on operational expenditures.

Like taxes on "certain wages"  which end up meaning virtually all wage expenditures, all pension expenditures, all capital investment expenditures, and all operational expenditures.

REMEMBER -These massive other taxes are how Fairtax math adds up.  Two Trillion dollars of other taxes, over half of Fairtax revenue projections, are based on these goofy hidden and other taxes.  Why not ever tell  anyone, in 16 years, about them, in any candid honest way?

Why claim it's a very simple retail sales tax? 

So why does Fairtax have these massive other taxes?   


At least city and states could -- theoretically -- raise their tax rates.   But how would the poor pay taxes on their health care, rent, food, etc?

There are -- in Fairtax math -- absolutely no exceptions. All consumption is taxed. 

(remember, it's consumption they based their math on, not sales, as shown by Bush Tax Panel) 

As goofy as it seems -- and is -- Fairtax taxes all  health care consumption, without exception.

And the "person using or consuming"   the health care (or anything) owes the tax.  Again, this is what their math is based on.

No, they never say health care is taxed, they just say, cleverly, all personal and government consumption expenditures are in the tax base.  Again, this is the trick exposed by Bush Tax Panel.

Why tax all cancer victims?   Same reason they taxed all city county and states -- to make their math appear to add up.

Yes, it's that goofy.  

Yes -- you thought it was a retail SALES tax on people.  That's what the lying bastards told us.

 To make their math work, as President Bush Tax Panel showed politely,  all Fairtax tricks are done for one reason -- to make their math work on paper.

That is central to their math -- as you will see, without these goofy fine print tricks, Fairtax rate would be 89%.    They needed to show, on paper, that their "plan" would collect 3.5 Trillion.  But retail sales tax would collect 1.4 trillion.

How to get that other 2.1 Trillion?  Fine print tricks.  They had to. 

So they did. 




22 Million in research?  Yeah, we thought so too. But - they cant show any, even when offered $50,000 dollars for one page.

So they have all that researched, right?  

Someone "researched"  these huge taxes on wage expenditures, and much much more, right?

Uh - no.   There is no research.   What they have are the goofy, high cost documents from Beacon Hill, that actually are the opposite of research.


Neal Boortz told us Dale Jorgenson did the "fundamental research" showing Fairtax was brilliant and effective.

Neal Boortz told his suckers Fairtax had 22 million dollars of research --  claimed Dale Jorgenson of Harvard did the "fundamental research". What a lying bastard, Jorgenson never did any such research and doesn't support Fairtax
nor anything like it. 

Fairtax didn't tell you their fraud was exposed, of course. Why would they? 
 To be fair, President Bush Tax Panel exposed the fraud, but in public didn't use the word "fraud".  Others DID call it a fraud, and in sworn testimony. 

Bush Tax Panel were polite about it, but they showed the massive impossible "other taxes" that Fairtax hustlers never told suckers about in 15 years.




See more below.


Do Fairtax hustlers really believe all cancer victims can, will, and should pay huge taxes?  HELL NO.   The hustlers knew it was bullshit from the get go.  Boortz was well aware, as you can tell when he parsed words on the subject, when Jorgenson revealed he did no such research -- though Boortz had claimed Jorgenson did extensive research. 

Every speech Boortz made, he "forgot"?

Every book he wrote about it -- he "forgot"? 

Every city 
Every county
Every state.


Without these massive other taxes (which are impossible to collect) Fairtax hustlers would have to admit a retail sales tax rate would need to be 89% to replace all other taxes.

They never told any city about  about this - ever.

They never told any state about it. 

They never told their suckers about it.

They never told Congress about it.  Only when others told Congress in testimony, did even Congress get a clue how these lying bastards added up their math, and what tricky bullshit was in their fine print

That's why Fairtax isn't going anywhere. 

Bush Tax Panel found that, without the massive hidden taxes (we show you below) Fairtax rate would be 89%, not 23%



Word games.   Fairtax hustlers used old fashioned word games.

See those words?  Tax all consumption of goods and services?  Without exception?

That's in the fine print. So you better know what the hell they mean by consumption, and they made sure suckers thought it meant retail sales.  Because thats what they told you, and thats the only example they gave. 


No big deal, right?  All consumption -- no exceptions.  

 How about 2.1 Trillion dollars of other taxes they didn't tell you about. Think they "forgot"?

According to sworn testimony to Congress, never refuted, Fair Tax other taxes add 2.1 Trillion dollars of "revenue"  projections  to the 1.4 trillion dollar retail sales tax.



In  Fairtax documents, by Beacon Hill (Beacon Hill is their public relations company), Fairtax cleverly says city and states should "raise their tax rates" to pay these taxes based on NIPA define consumption taxes.


 CNN interviewed shortly after the "Fairtax Book" came out, which made it seem as if Jorgenson researched and supported Fairtax.   Wrong.  

Jorgenson did no research on Fairtax, and said the plan would not work.  Jorgenson is not for Fairtax or anything like it. 

So who did the 22 million dollars of research?  Sure as hell wasn't Jorgenson. 

No one did 22 million dollars of research.  No such research even exists. They have only those very clever documents from their own public relations company.


Still seem like a simple retail sales tax to you?

How do they have most of Fairtax revenue coming from city county and state government, but call it a "personal tax".

Here is how these lying bastards did it. They cleverly define all government as a person, in one of their endless definitions, way way way down in the fine print.

Fairtax spokesmen James Bennett defended this stupid and fraudulent way of hiding 1.4 trillion dollars of revenue (by calling the government a person way down in the fine print) 

Bennett said there was "no need" to explain further that what is in that definition,  or that it means all city county and states have to pay massive taxes, because "city and states deal with fine print all the time".

Fairtax Spokesmen Bennett claimed the "definition of a person" was clear enough to let all city county and states know about the 800 billion - 1.2 trillion in taxes they would owe. Is he stupid, or just a cult member fooled by his cult daddy?  He isn't stupid.  So that leaves fooled by his cult daddy, IMHO.


That's a fraud, in our opinion. Deliberately misleading you on the most basic aspect.


If your city builds a new court house for 50 million, your city has to pay a 13 million dollar tax.  No, they don't deduct that from the 50, they pay the 50, this is a separate tax,  paid separately, in addition to any retail sales tax.