Easy. Consumption of percentage of income. Some poor auto-mechanic making 35k and raising 2 kids will likely consume 100% of his income and be taxed on 100%.<quoted text>
The Fair Tax is a CONSUMPTION tax. The more you consume, the more taxes you pay. Buy a big ticket item, pay big ticket tax. EVERYONE pays taxes. How does this allow the wealthy to accumulate more wealth quickly at the expense of the lower classes?
Somebody else making 50 million would have a hard time consuming 100% of his income. So he gets taxed on 5% or whatever of his income.
Those who start the game with the lowest untaxed income wins.