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CONCURRENT RESOLUTION
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WHEREAS, History has demonstrated that the levying of income |
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taxes gives government too much power over citizens, and |
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accordingly, the nation's founding fathers did not impose a federal |
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income tax in the United States Constitution; and |
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WHEREAS, The nation's current income tax system, established |
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via the enactment of the Sixteenth Amendment to the United States |
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Constitution, is unfair and inequitable, and it unnecessarily |
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intrudes on the privacy and civil rights of U.S. citizens; it |
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imposes unacceptable and needless administrative and compliance |
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costs on individuals and businesses, and it requires individuals to |
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prepare annual tax returns using many complicated forms, resulting |
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in unintentional errors that are severely punished; in addition, it |
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hides the true costs of government by embedding taxes in the costs |
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of everything that Americans buy; compliance does not occur at |
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adequate levels, which raises the tax burden on law-abiding |
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citizens; and |
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WHEREAS, Hindering economic growth, the current tax system |
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diminishes the standard of living, impedes the international |
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competitiveness of industry, and lowers productivity; it slows the |
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capital formation necessary for real wages to steadily increase and |
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reduces savings and investment by taxing the same income multiple |
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times; moreover, it penalizes marriage and impedes upward social |
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mobility; and |
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WHEREAS, Federal payroll taxes, including social security |
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and Medicare payroll taxes and self-employment taxes, destroy jobs |
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by raising employment costs; these taxes lead to higher rates of |
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unemployment and have a disproportionately adverse impact on |
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lower-income Americans; and |
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WHEREAS, Federal estate and gift taxes impose unacceptably |
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high tax-planning costs on family-owned businesses and farms, and |
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families are often forced to sell their holdings in order to pay |
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them; furthermore, these taxes discourage capital formation and |
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entrepreneurship, fostering the continued dominance of large |
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enterprises over small, family-owned companies and farms; and |
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WHEREAS, In The Federalist No.21, published in 1787, |
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Alexander Hamilton wrote: "It is a signal advantage of taxes on |
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articles of consumption, that they contain in their own nature a |
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security against excess"; a broad-based national sales tax on goods |
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and services purchased for final consumption would promote |
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fairness, economic growth, and savings and investment; it would |
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raise the standard of living and improve upward social mobility by |
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enhancing productivity and international competitiveness and by |
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reducing administrative burdens on the American taxpayer; at the |
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same time, a national sales tax would respect the privacy interests |
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and civil rights of taxpayers; such a tax would be similar in many |
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respects to the sales and use taxes that are now authorized in 45 of |
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the 50 states; and |
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WHEREAS, Most of the practical experience in administering |
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sales taxes is found at the state level; accordingly, a national |
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retail sales tax could be efficiently implemented by fostering |
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administration and collection of a federal sales tax at the state |
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level, in return for a reasonable administration fee paid to the |
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states; coordinating federal and state collection and enforcement |
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efforts to the maximum extent possible would further contribute to |
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the smooth transition to a national retail sales tax; while |
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businesses would incur costs in collecting and remitting taxes, |
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they would receive reasonable compensation for their efforts; and |
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WHEREAS, In every respect, a national retail sales tax is |
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more equitable and advantageous than the present system of relying |
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on income taxes; now, therefore, be it |
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RESOLVED, That the 84th Legislature of the State of Texas |
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hereby urge the Congress of the United States to abolish the current |
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income-based system of taxation, to enact a national retail sales |
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tax, and to propose and submit to the states for ratification the |
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repeal of the Sixteenth Amendment to the United States |
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Constitution; and, be it further |
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RESOLVED, That the Texas secretary of state forward official |
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copies of this resolution to the president of the United States, to |
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the president of the Senate and the speaker of the House of |
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Representatives of the United States Congress, and to all the |
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members of the Texas delegation to Congress with the request that |
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this resolution be entered in the Congressional Record as a |
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memorial to the Congress of the United States of America. |