That is known as the fair tax. The issue I have heard with that is that the percentage you would need to tax is much higher than the proponents claim. It is something like 50%. At such a high tax rate, a black market would form.
I am in favor of shifting all entitlements to the state/local level, reducing the federal income tax rates, aggressively reducing the federal budget to shrink the deficit, and raising taxes at the state/local level to pay for the entitlements. The amount of tax paid may be the same.



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