Recent editorials about the tax gap highlight the reasons why there will never be a resolution under our current Internal Revenue Code, and they also highlight a solution. The Tax Gap is understood to be the difference between what the IRS thinks taxpayers should be paying and what it collects, in other words, evasion. Tax code non-compliance comes from two sources: code complexity and multiple collection points.

The Russian experience with its own version of a flat tax has shown that simplifying tax codes raises compliance. However overseeing 130 million households in the United States for tax returns keeps government larger than it needs to be.

The Fair Tax Act, HR25 and S25, if enacted in to law, would elevate compliance. The Fair Tax replaces payroll, income and death taxes with a national retail consumption tax that is fair to the poor and gives the federal government the same revenue stream it receives today from the repealed taxes. It is simple, and collection points drop from 140 million to 15 million retailers. Criminals and undocumented aliens begin to pay tax as they make purchases.

The Fair Tax addresses the tax gap and is worthy of your support.