Everyone who knows how to balance his checkbook, including those who don't want to admit it, knows that Congress failed U.S. taxpayers on Tuesday. But the fiscal cliff vote was just a single battle in the war for fiscal responsibility.
In a desperate attempt to maintain the power that unbridled spending gives them, our so-called "representatives" voted to cut spending just one single dollar for every 41 dollars in tax increases. Worse yet, most of the spending cuts are delayed.
U.S. Taxpayers took a severe beating. But the war for fiscal responsibility is far from over. Certainly, Congress made it tougher for responsibility to win. But there is still a path to victory.
With Democrats and RINOs in power, it's going to be extremely difficult to get any additional spending cuts in the next two years. That's a given. The tax and spenders are circling the wagons and preparing for a long siege.
Sure, we can and should keep the pressure on them to cut spending. That's critical. But we shouldn't base all our hopes on such advocacy.
There is however, one thing for which we can advocate that could significantly improve our situation and it's something that already has some degree of bi-partisan support.
The FairTax would, by eliminating the income tax, turn the U.S. into a giant wealth magnet. Millionaires and billionaires are leaving France and other high-tax nations like, like rats leaving a sinking ship. The FairTax would make the U.S. the destination of choice for many of those uber-wealthy individuals, from around the world.
More wealthy people in the U.S. means more tax revenue to be collected, without raising rates. New wealthy residents would pay tax on everything from their expensive cars, boats and caviar, to their tailored suits and jet fuel for their planes. That's tax dollars that we don't have today. It's revenue that could be used to pull us back from the fiscal cliff, without raising taxes on a single American.
There are currently 80 members of both houses of Congress, who have sponsored or co-sponsored the FairTax (H.R. 25) and that number is likely to increase in the next session.
Don't think of the FairTax as a "Plan B." It will eliminate the ability of Congress to play favorites with taxes and it will draw foreign wealth and jobs into the USA. It's the game-changer that can save U.S. taxpayers.
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