Some Republicans worry that the Fair Tax Act, legislation that would abolish the current federal income tax and replace it with a 30% national sales tax, would be a political gift to Democrats and a headache for the GOP, reports Semafor.
House Speaker Kevin McCarthy, R-Calif., reportedly promised a floor vote on the bill to win over enough support from his own party to become the lower chamber's party leader.
The legislation, which was introduced Jan. 10 by Rep. Buddy Carter, R-Ga., would abolish the Internal Revenue Service and federal tax system and replace it with a national sales tax that would be administered by the states.
It would also send out "prebate" checks to lower-income families.
"This is a political gift to Biden and the Democrats," Grover Norquist, president of Americans for Tax Reform (ATR), a taxpayer advocacy group he founded in 1985 at President Ronald Reagan's request, told the news outlet. "I think that this is the first significant problem created for the Republican Party by the 20 people who thought that there was no downside to the approach they took."
GOP members on the House Ways and Means Committee oppose the plan — none are cosponsoring it.
"I would almost expect it to be in [Carter's] interest to pull that bill rather than have a vote on it in committee," a tax lobbyist in touch with Republicans on the panel told Semafor. "I don't think there's any favorable people on the committee with an opinion in support of the Fair Tax."
Rep. Chip Roy, R-Texas, told the news outlet he's "got concerns."
"I will not support creating a new tax without repealing the 16th amendment."
President Joe Biden last week slammed the bill as a tool for wealthier people to pay less taxes.
"Is this how House Republicans are starting the new term: cutting taxes for billionaires, raising taxes for working families, and making inflation worse?" he said in remarks published by the White House.
"Well, let me be clear: If any of those bills make it to my desk, I will veto them. I will flat veto them."
Solange Reyner ✉
Solange Reyner is a writer and editor for Newsmax. She has more than 15 years in the journalism industry reporting and covering news, sports and politics.
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