In the Congress of the United States
119th Congress — 1st Session
FairTax Act of 2025
Your Tax Dollars
Congressional Research Service Summary
This bill proposes to abolish the Internal Revenue Service, repeal all federal income taxes, payroll taxes, estate taxes, and gift taxes, and replace them with a single 23% national retail sales tax. The bill has been introduced in every Congress since 1999.
Bill Details
The FairTax Act would fundamentally restructure federal revenue collection. Critics argue the 23% rate is calculated “inclusively” and the effective rate would be closer to 30% on a traditional tax-exclusive basis. The bill includes a monthly “prebate” to offset the regressive nature of consumption taxes.
Source: This is a real bill introduced in the 119th Congress. View on Congress.gov.
Disclaimer: The absurdity score and editorial commentary above represent this site’s opinion. Bill details should be verified at Congress.gov.
Note: This page contains editorial commentary. Bill data is sourced from public congressional records and may not be fully current. Absurdity scores are subjective editorial ratings. Verify at Congress.gov →