fair tax Yes, lots of people do take advantage of the system in that way. But no one has ever said the Fair Tax was perfect. I feel it is way better than what we put up with now. On other thing, if the IRS was abolished, all of those employees could be relocated to Social Services to try and stop those that aim to take advantage of the system. One of the main reasons the prebate section is included in the FT is becuase of politics. Some would read the plan and start screaming "What about the poor?! This puts undue burden on the poor!" Well, the prebate just about nullifies those taxes paid on their essentials and leaves the above mentioned "loophole" open.