Urging Congress to abolish the current income based system of taxation.
If enacted, HCR79 would promote the adoption of a national retail sales tax as a replacement for income tax. This shift is viewed as a way to enhance economic growth and fairness by reducing compliance issues for taxpayers. Proponents suggest that a national sales tax would simplify the tax collection process, potentially boosting transparency around government revenue without imposing the same level of complexity that income taxes do. Furthermore, it argues for the recommendation to repeal the Sixteenth Amendment, thereby eliminating the federal income tax altogether.
HCR79 is a House Concurrent Resolution from the Texas Legislature that urges the United States Congress to abolish the current income-based taxation system. The resolution expresses a belief that income taxes grant government excessive power over citizens and argues that the federal income tax, established by the Sixteenth Amendment, is unfair and infringes on personal privacy and civil rights. The proponents of this resolution assert that the current income tax system creates undue administrative burdens and complexity, leading to unintentional penalties for taxpayers.
Despite the potential benefits highlighted, there are concerns among various stakeholders regarding the implications of such a fundamental change to the tax system. Critics argue that replacing income tax with a sales tax could disproportionately affect lower-income individuals and families, who might spend a larger portion of their income on consumption. There is also the concern that the switch could lead to decreased government revenue if not carefully calibrated, potentially affecting public services funded by income tax revenues. Thus, the discussions around HCR79 involve significant contention over tax equity and the broader implications on social welfare and government funding.