Editor, Times-Union:
The major difference between the Flat Tax and the Fair Tax is one taxes income and the other taxes consumption. A flat income tax requires accountability, reporting, privacy invasion, enforcement, penalties, punishment. A consumption tax (Fair Tax) doesn’t.
The Fair Tax repeals all taxes on income including personal and corporate taxes, payroll taxes, capital gains tax, estate tax, gift tax and other direct taxes on income. ‘No income tax’ means no embedded (hidden) taxes in the price of goods and services. Business to business sales will not be taxed, therefore the accumulated costs of production and processing go down an average of 22 percent, and export prices of American-made products will go down an average of 17 percent.
This equates to increase manufacturing in America, and lots of new full-time jobs.  The 23 percent Fair Tax is included in the retail price to the consumer resulting in little or no change in prices and April 15th is just another day as the IRS is eliminated.  The Flat Tax keeps all of the taxes that the Fair Tax eliminates.
I don’t know how Mr. Eldridge came up with the words that the Fair Tax increases welfare because of the prebate.  The prebate is a monthly refund of taxes that you would pay on all necessities of life (i.e. food) up to the poverty level.
So if you make at or below the poverty level, all of your taxes will be returned.  This prebate is for all Americans so that way they still keep the necessities of life tax free.  I also don’t know how he came up with a 40 to 70 percent sales tax.
With the Fair Tax, the price tag includes the Fair Tax in the price of the product. So if you buy a $100 dollar, 23 dollars goes to the Federal Government and 77 dollars goes for the price of the bicycle.  “The combination of no federal income taxes taken from paychecks, plus the monthly prebate, and little change in prices results in more money in the people’s pockets. It also means as more people are employed there will be less government spending on entitlements such as unemployment, food stamps and other subsidies.”
Lastly, the Fair Tax begins the process of eliminating a pillar of the Progressive Era in the Income tax, and with the repeal of the 16th Amendment, making future income taxes difficult to enact.
The Fair Tax already has 74 co-sponsors, while the Flat Tax has 10, so tell me which one the American People want.  To learn more, go to www.fairtax.org and to truly know about the Fair Tax, do what Mr. Eldridge failed to do and take two hours to read the bill.
Gary Eppenbaugh
Warsaw, via email