Georgia for FairTax | Free eBook Sep. 2014 | Page 4

FairTax Overview ADMINISTRATION The FairTax is administered primarily by existing state sales tax authorities. It requires no itemization, receipts, IRS forms, tax audits, tax brackets, deductions, capital gain concerns nor individual or corporate tax compliance costs. There are no hidden taxes on goods purchased and no loopholes, exemptions or exclusions; corporate taxes are abolished and used goods are not taxed. Retailers are paid 0.25% to collect the FairTax at the original point of purchase and the same amount goes to state sales tax authorities a collection fee. STATE TAX SYSTEMS No state is required to repeal its income tax or piggyback its sales tax on the federal sales tax. All states have the opportunity to collect the FairTax on behalf of the federal gov