Each entity (people, corporations) that acquires wealth from some activity within the nation will be taxed to support the government of the nation that made it possible for them to acquire that wealth.

A person who creates wealth, greatly benefits by being in a nation with an economic system that makes to possible to create that wealth. An additional benefit is when that nation has a political system that allows personal freedom and provides you with means to participate in running that system. It is in the self-interest of this person to support this system to the maximum. the more wealth that this system can be used to create wealth, the more wealth the person returns to support this system.

Financing the federal government with a National Sales Tax violates the above postulate. You do not need an IQ above the 50^th percentile to comprehend that a sales tax system gets its money from a system that supplies your purchases, not your wealth.

Financing the federal government with a National Sales Tax creates a system whereby people can take money from the economic system and never pay to support the system.

People living near the borders will make their purchases in Mexico and Canada. They will not contribute to supporting the economic system that made it possible for them to acquire their wealth.

The wealthy will fly to other countries and make their purchases. They will not contribute to supporting the economic system that made it possible for them to acquire their wealth.

Everyone will make purchases over the internet and have them shipped to the U.S. They will not contribute to supporting the economic system that made it possible for them to acquire their wealth.

A war will reduce consumer sales and the taxes to finance the war. During World War II people were earning money but there were few consumer goods. Revenue from a sales tax would have been greatly reduced.

An entity benefits from engaging in economic activity within the nation. The greater the benefits - the greater the tax rate.

A formula will be used that will increase the tax rate the same for all levels of income. This will produce a straight line, see chart. The more an entity benefits from the economic system, the higher the tax rate.

Under the current tax bracket system the effective tax rate increases faster on low incomes than it does on high incomes. This creates a negatively accelerating curve, see chart.

Tax Cuts. It is astonishing that people vote for someone who says "I am for lower taxes". It is a long ways from being a Mensa grade proposal. Consider this: a group of politicians are running for office. Each one vowing to lower taxes more than the other. By election day, not any taxes will be paid. It is simple-minded. [1] The first concern should be is the tax system based on a rational foundation. [2] The second concern should be: is the government using the money in a cost-effective manner. The legislators´ and executive´s job is to define which programs should be eliminated, and to specify how the remaining programs will be managed in a cost-effective manner. It is completely irrational and irresponsible to propose to increase or decrease the amount of money to be taken from wealth producers without first presenting a competent analysis of how the government is using, and will be using, the wealth that is taken.

Each income level will be taxed the same regardless of the source of the income. Under the current system, the same amount of income is taxed at a different rate depending on the source of that income, e.g. wages, investments, inheritance, profits, etc.

The money/wealth a carpenter receives from building a house is taxed with the one-and-only-formula as is the money/wealth a painter receives for painting a house.

The money/wealth a carpenter receives from selling a house is taxed with the one-and-only-formula the same as is the money/wealth the carpenter received for building a house. It is of no consideration how many months he owned the house. It is of no consideration how many months the carpenter required to build the house. The carpenters tax rate does not decrease the longer it takes for him to build the house. The seller´s tax rate does not decrease the longer he owns the house that the carpenter built. The income received from the sale of the carpenter´s labor or from the sale of the product of the carpenter´s labor will be taxed at the same rate.

The money/wealth that a carpenter gets by receiving a house as a gift will be taxed with the one-and-only formula on the money/wealth the carpenter received for building a house.

The money/wealth that a carpenter gets from illegal activities will be taxed with the one-and-only formula the same as the money/wealth the carpenter received from legal activities.

The money/wealth that a carpenter gets by receiving a house as an inheritance will be taxed with the one-and-only formula on the money/wealth the carpenter received for building a house.

The carpenter buys a 2X4 and sells it to the house buyer for more than cost. The carpenter pays income tax on the profit as determined by the one-and-only-formula. The carpenter pays the same tax rate if he completes the house in two months or twenty-four months. The carpenter buys common stock of a firm that builds houses and then sells common stock for more than the cost. The carpenter pays the same tax if he sells the stock two months after he bought it or twenty-two months after he bought it.

The carpenter builds a house and pays the tax computed with the one-and-only-formula on the income he received. The carpenter wins a lottery and pays the tax computed with the one-and-only-formula on the money received. The carpenter´s father gives his son the carpenter some money and the carpenter pays the tax computed with the one-and-only-formula on the wealth received from his inheritance. The carpenter finds some money and pays the tax computed with the one-and-only-formula on the found money. The source of the wealth does not change the tax rate. The carpenter received the wealth by being in America, and he pays a part of that wealth in order to maintain America so he can get more wealth by being in America.

This tax system will be used to maintain civil order. Civil disorder follows when a few people accumulate the wealth of a nation, e.g. the French Revolution, the Russian Revolution. All of the talk about a  Death Tax  is puzzling. It is so simple-minded. Death is not being taxed. The dead person is not being taxed. The dead person´s wealth is not being taxed. Each person who gets wealth must pay a portion of that wealth in order to support the system that made it possible for him to get that wealth.

Behavioral Science. This tax system is constructed so that productive behavior is reinforced, but hoarding behavior is not reinforced. After a certain size of reinforcement, the behavior is not affected. Someone who is engaging in an activity that gets him $10 M and he pays $7 M in taxes, is not going to quit the activity that is getting him $3 M to spend on creature comforts.

Amend the Constitution so that Congress cannot give tax breaks. When it is in the national interest to provide financial support the Congress will authorize payments to the "needy".