The Chairman’s Report June 14th, 2024

  • by:
  • Source: FAIRtax
  • 06/14/2024

Why taxing corporations is a really bad idea - unless you want to hide who really pays? 

One of the loudest complaints raised against the FAIRtax is that it would abolish the corporate income tax.  According to DC elite thinking, it’s absolutely unconscionable that billions of dollars of corporate profits would go completely untaxed.  The elites sincerely believe that these mega-rich corporations have an obligation to “pay their fair share”.

An April 23, 2024 Op-Ed in the Wall Street Journal by Phil Gramm and Mike Solon entitled, Who Pays Corporate Taxes? Look in the Mirror Costs are passed on to consumers. If you work for and invest in companies, you get hit three times.

Here are some of the points they made:
  • Americans don’t understand that corporations don’t pay taxes.
  • A corporate entity is owned by its shareholders—you and me.
  • Corporate taxes are just like any other cost of doing business.  When costs go up, the increase gets passed on to a number of different people in a number of different ways.
  • To the degree that the entire cost of the tax increase can’t be passed on to consumers, those increased costs are borne by employees and investors. 
  • Most economic studies conclude that 50% to 70% of a corporate tax increase is not passed on in higher prices but is borne by workers, while 30% to 50% is borne by investors.
  • If you consume, you pay the corporate tax. If you consume and work for a corporation, you pay the corporate tax twice. If you consume, work and invest your retirement funds in corporate equities, the corporate tax hits you three times. 
  • Democrats like to portray big corporations as being run by greedy robber barons.  But, when you pull back the curtain, it isn’t the wizard or the robber baron you see but yourself as a consumer, worker and pensioner.
  • A recent Treasury study confirms that 92.6 million families, 49.5% of all American families, pay more in corporate taxes hidden in the prices of the things they buy than they do in individual income taxes.
  • President Biden’s proposed corporate tax increases would raise taxes on more low- and moderate-income American families than if he raised individual income-tax rates.
  • We must never forget that the corporate tax is a tax on everything we buy, a tax on our wages and a tax on our retirement nest eggs. 

There are some facts about how DC acts that are clear to anyone who bothers to look.  All their actions are intended to:
  • Hide the true cost of the income/payroll tax system and increased regulation from the American people.
  • Distract attention from their numerous failures by creating tensions between the American people over “fairness”.
  • Divert attention away from their own failures by blaming greedy corporations and individuals for not paying as they should and trying to convince us that making these scoundrels pay their fair share would reduce our tax burden.
  • Convince the American people that the problems we face today are too tough for ordinary people to solve.  That we’d be better off leaving the problem-solving to them because they are much smarter than the rest of us and will use their superior knowledge and intellect to take care of us.
Note to D.C--- more and more of the American people are waking up to how bad a job you are really doing!

People are realizing that higher corporate taxes mean:
  • We all pay the tax in the form of higher prices
  • People who work for the corporation pay the tax in the form of lower or stagnant wages and reduced benefits (if they’re lucky enough not to get laid off)
  • Higher taxes make a company less profitable.  That reduces the value of their stock and negatively impacts our retirement accounts
The FAIRtax is an honest tax—everyone sees exactly what keeping the federal government running is costing them.  The DC elites’ worst nightmare is that people will discover the extent of their mishandling and corruption.  When the people figure out that they’re not getting their money’s worth, there will an uprising at the polls.

There is an elegant solution to this problem.  Pass the FAIRtax:
  • We keep all our paycheck.
  • We clearly see the cost of government with every purchase and all will know the real cost of the government that we are receiving.  
  • The economy and government tax revenues will grow much more rapidly.  
  • Budget cuts are still required to stop expanding the national debt but will not need to be as painful.
  • Interest costs on the National Debt will come down and the total will again be less than we pay for defense spending.
  • Rates for mortgages, car loans and credit card loans will quickly come down.
  • All Americans will be more prosperous and confident about their future.
  • Social Security and Medicare will be fully solvent, and no senior will worry about having their retirement income reduced because of the inability to finance the National Debt.
Please go to this link to invest in AFFT and help us pass the FAIRtax.  It’s an investment in your and your family’s future. 


Why would D.C. pass the FAIRtax and give up this almost unlimited source of donations? The only way that they will is if the rest of us demand it!

Isn’t it time to end this ludicrous tax collection system and the IRS?

There is going to be a vote on the FAIRtax in the House of Representatives.  

We now have the opportunity to force all Members of the House to show where they stand. They can:
  • Vote for the present income/payroll tax system or for the FAIRtax.
  • Support the corrupt income tax and the IRS or eliminate it.  It can’t be any simpler than that.
  • Hide the true cost of their government or pass the FAIRtax and show everyone the true cost of government on each retail receipt.
  • Support the largest transfer of power from government to the people, the FAIRtax, or not.
If Members think that the FAIRtax needs to be amended to address a problem, then they can propose the change.  Don’t let reject the entire bill because it has a perceived “flaw” that can be addressed.  

By contributing (investing) $10.40 per month, you help provide a financial base to AFFT.  If you can make larger contributions (investments), these will be used not for salaries, as we are all volunteers, but for the needed updates to our economic studies which will be vital for all future years.
Please go to this link to invest in AFFT and help us pass the FAIRtax.  It’s an investment in your and your family’s future. 
FAIRtax - Chairman's Report by is licensed under

Help FAIRtax Become The Number One Issue in 2024

Enacting the FAIRtax must be a prominent topic in these times. We did it before, we can do it again, but we need your help!

Help out with a One-Time Contribution

Your gift of $25, $50, $100 – even $1,000 or more if you can possibly spare it – will help bring an end to the IRS and promote a FAIRtax. So, I urge you, please give as generously as you can.

Billing information (REQUIRED)

Payment information (REQUIRED)

To donate by check:
Americans for Fair Taxation
PO Box 4929
Clearwater, FL 33758

If you need to make changes to your existing Monthly Re-Occurring Donation with new card or billing address information, then Please call Adam Yomtov our New York State Co-Director. He is assisting with the administration of our donations, technology services, and website.

Please note: Inputting your new information at our website won't update your donation. The only way to update is by calling Adam Yomtov 917-689-3931 mobile.

Americans for Fair Taxation® is a 501(c)(4) non-profit, non-partisan grassroots organization solely dedicated to replacing the current income tax system with a fair, simple and transparent national consumption tax – the FAIRtax® Plan. We rely entirely on contributions from concerned citizens like you who want a tax system that will generate jobs and stimulate the economy. Welcome to the FAIRtax team!