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Message:: [QUOTE="yakpoo, post: 1086086, member: 18157"]The consumption tax (or the "Fair Tax") is a proposed replacement for the 100 year old income tax. As the world evolves towards a global economy, the US income tax has become a defacto "self imposed" tariff on domestically produced goods and driven manufacturing out of the country.  The Federal Income Tax is applied throughout the domestic manufacturing process and is reflected in overall prices. This tax is not reflected in the price of imports. If the current income tax is replaced with the Fair Tax, the income tax is replaced with a consumption tax (net change = 0), but the consumptoin tax is evenly applied to all goods sold in America. Additionally, the income tax is removed from the price of our goods sold overseas. The Fair Tax makes US goods more competitive both domestically and overseas; the price of imported goods increase and the price of our exported goods decrease...the the result of manufacturing jobs returning to the US.  Additionally, the Fair Tax draws revenues from our vast, untapped, underground economy of illegal aliens, drug dealers, and tax cheats...and no more April 15th (Woo Hoo!!); paying all those tax dollars to withhold, then repay tax returns...while the wealthy hire former IRS agents to game the system. This is more of a common sense, economic issue rather than a political one...and anything that improves our domestic economy affects commodity prices such as silver and gold.[/QUOTE]