[Congressional Record (Bound Edition), Volume 161 (2015), Part 1]
[Senate]
[Pages 1367-1368]
[From the U.S. Government Publishing Office, www.gpo.gov]




                              FAIR TAX ACT

  Mr. MORAN. Mr. President, we have had a lot of talk--certainly in the 
last year or so and certainly as this new session of Congress begins--
on the importance of tax reform. Our country is at a point in time 
where we certainly are no longer competitive globally. The economy now 
is one that works against us because of our Tax Code. I think there is 
general consensus in the Senate that reforming the Tax Code is of 
significant importance, something that must be done.
  I am often asked not only when I am back in Kansas but here in 
Washington, DC: Do you expect there to be broad-based tax reform? And 
we keep guessing about the likelihood of that happening.
  I think it is typical of elected officials, politicians, to always 
talk about the need for comprehensive tax reform. We talk about 
lowering rates, making the tax system more fair, less bureaucratic, 
less paperwork. I certainly join in those sentiments and believe that 
the current circumstance we have in regard to our Tax Code is such that 
it limits the freedom of Americans--American business men and women, 
individuals, and their families. We make way too many decisions based 
upon the consequences of those decisions and how they are affected by 
the Tax Code.
  So I am all on board on tax reform, but I wish to talk about what I 
believe is the best solution toward tax reform. And it is not tinkering 
with the current system; it is an overhaul of the current Tax Code.
  I have joined my colleague from Georgia, Senator Perdue, in once 
again introducing the fair tax plan. I started a long time ago in 
Congress, knowing that we needed to make significant changes in our Tax 
Code, with the belief that most Americans ought to be able to file a 
tax return without the need of professional help, that we ought to be 
able to make decisions that are in the best interests of ourselves, our 
families, and our businesses without always going to the Tax Code to 
see what the consequences of those decisions were. I looked at a 
variety of proposals that were being considered at the time and 
continue to be considered today and ultimately reached the conclusion 
that the Fair Tax is the best option for significant reform. I wish to 
speak for just a minute about why I think that is the case.
  As I said, Senator Perdue and I introduced S. 25, the Fair Tax Act of 
2015. I have been a cosponsor of that legislation. It was originally 
introduced in the Senate by the former Senator from Georgia, Mr. Saxby 
Chambliss, and I am pleased to now succeed him in his efforts to see 
that not only is this topic discussed in Congress but ultimately that 
the Fair Tax Act becomes law. It is a significant step in the direction 
of individual freedom.

[[Page 1368]]

  I would highlight for my colleagues--and I have said this on the 
Senate floor before--I think the greatest responsibility we have as 
American citizens is to pass on to the next generation of Americans the 
freedoms and liberties guaranteed by our Constitution and the 
opportunity for every American to live the American dream. The Fair 
Tax, in my view, brings both of those goals front and center. Greater 
freedom and protection of individual liberties is certainly a component 
of the Fair Tax, and the opportunity for every American to pursue the 
American dream is a result that comes from the Fair Tax. It is that 
Fair Tax direction and individual freedom that caught my attention. It 
is the concept our Founding Fathers knew so well.
  The PRESIDING OFFICER. The Senator's time has expired.
  Mr. MORAN. I ask unanimous consent for additional time.
  The PRESIDING OFFICER. Is there objection?
  Without objection, it is so ordered.
  Mr. MORAN. Mr. President, the Fair Tax repeals all Federal, 
corporate, and individual taxes, payroll taxes, capital gains taxes, 
and estate and gift taxes and replaces them with a revenue-neutral 
personal consumption tax. The Fair Tax allows Americans to keep the 
entirety of their income, putting individuals in charge of their own 
finances, not the government--or, more specifically, not the Internal 
Revenue Service.
  All Americans should be able to trust the IRS, which exercises great 
authority over the lives of Americans in this country, but we know from 
past experiences that expectation is no longer founded. So getting rid 
of the Internal Revenue Service is a significant benefit that comes 
from the passage of the Fair Tax.
  I recognize that consumption taxes can be regressive, meaning they 
are harmful to those at lower income levels. So the Fair Tax takes that 
into account by providing a pre-rebate for those who fall below certain 
poverty income levels so that the basics--the things we by necessity 
need to buy in our individual daily lives--are not covered by a tax, 
therefore creating greater progressivity to what otherwise would be a 
more regressive tax and something that I think is still important in 
this country to make certain we don't overtax those at the lowest 
income levels in the United States.
  Certainly, our current Tax Code has significant complexities with all 
the paperwork. By some estimates, U.S. companies are currently holding 
over $20 trillion overseas. With the passage of the Fair Tax, foreign 
investments would no longer continue to sit on the sidelines when they 
could be brought back to America to drive economic growth and create 
jobs. For international businesses looking to relocate to the United 
States, the Fair Tax would be a welcomed sign. But the Fair Tax also 
benefits the consumer. It also benefits the everyday citizen, as I 
said, because of the pre-rebate.
  With my time being short, I look forward to having a dialogue on the 
Senate floor and in the committees over the next few months, and I ask 
my colleagues to seriously take a look at S. 25 and to join the Senator 
from Georgia, Mr. Perdue, and me and others in promotion of a program 
that reduces the complexity of the Tax Code in our lives, rids us of 
the Internal Revenue Service, protects the progressivity of the tax 
circumstance we find today, and most importantly, allows us to continue 
to pursue the American dream and promotes our individual freedoms and 
liberties.
  The Fair Tax is worthy of people's consideration. It ought to be more 
than just a talking point. It deserves a debate, a discussion, a vote, 
and consideration by the Senate.
  Mr. President, I yield back the remainder of my time, and I suggest 
the absence of a quorum.
  The PRESIDING OFFICER. The clerk will call the roll.
  The assistant bill clerk proceeded to call the roll.
  Mr. BLUMENTHAL. Mr. President, I ask unanimous consent that the order 
for the quorum call be rescinded.
  The PRESIDING OFFICER. Without objection, it is so ordered.

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