This was a front group set up by OSA in 1990 as part of the campaign against the IRS. It’s “President” was Steve Hayes, an LA area scientologist lawyer. It was run out of the Freedom Magazine offices. Freedom promoted it heavily and used it as a vehicle to spread the idea that the IRS should be abolished.
The idea for CATS was based on a letter from L. Ron Hubbard to Ronald Reagan when he was President in 1980 (Hubbard wrote to Nixon and Kennedy too — I guess he thought they would appreciate his special knowledge…). This letter from Hubbard simply lays out his philosophy on the subject, it is certainly not the first time he had mentioned this. Tony Ortega has a piece about the Hubbard flat tax idea at his blog today also, written by Chris Owen, the excellent researcher and scientology historian. This letter isn’t too easy to come by, and so this post is not entir
As you can see, Hubbard is not in favor of Social Security either….
So, what happened to CATS?
The IRS granted scientology tax exempt status in October 1993.
ALL campaigns against the IRS were terminated.
The horror of income tax was no longer an issue for scientology, so the national sales tax was forgotten faster than it had become a rallying cry in 1990 (CATS grew to over 300 chapters and did thousands of media interviews).
At the time, there were politicians who supported this plan, but it never gained real acceptance, though in the mid-90’s some Republican members of Congress brought up the plan in proposed legislation that never passed. By that time, scientology had bowed out of the tax and IRS reform business, more than content to now proudly proclaim they had the full endorsement of the IRS with 501(c)3 exemptions. `
If only the so-called “progressive” wing of the Dems had used their leverage in support of M4A. Ahh well.
The “system” clearly needs shaking up. The status quo is arguably not working for the majority of people. At least these guys are bringing something different to the table.
The us government is power mad. They have vastly increased spending far beyond the income made by taxing people, companies. Hence completely out of control national debt.
I’ve got couple points.
Overall goal, Demand the budget get balanced within 10 years.
Start with canceling federal government departments not included in the constitution. Education is one.
Immediately demand 5% cut in all departments in our next annual budget.
Demand serious review of the many trillions of dollars allocated in last 3 years of covid emergency measures. Recover money that has been allocated but not yet spent. Some of the allocation were over a ten year payout.
Prosecute the tens of thousands of companies and individuals who defrauded the system. Recover the funds from those companies. Note Many of the scientology corporations and front groups were raking in tons of money during the pandemic. They do love their free money.
Cut the funds to the Ukraine military given over without any oversight to one of the most corrupt countries in the world. What a scam.
Cut the increases in us military budget. Get it operating for the defense of our country, not half the world.
Defend our borders from direct attack by the cartels over 100000 drug overdose deaths in past two years. These cartels have a huge us network of drug peddling, sex trafficking, human trafficking. It has destroyed so much of Mexico and seeping in more and more into the us. The untold costs are not just drug overdose, but destroying family, ruining the work ethic that made the us the most productive in the world.
Flat tax, maybe not the best solution. Let’s get government overspending under control.
Yes these are radical thoughts, but the national debt is completely unsustainable.
Just my 10 cents
Wait – wasn’t LRH still in hiding when he wrote that letter to Reagan?
Hubbard studied economics at Princeton?
Was this before or after he earned his degree as a nuclear physicist?
Too funny!
Congressman John Linder and retired Libertarian Talk Show host Neal Boortz were big advocates of The FairTax. IMHO it still surrenders too much of our money and power to Govzila. The Revolutionary War was fought over a 2% Tariff on Tea. Last year I paid 47% of my income to some level of the government Leviathan. as the line in a Ray Stevens song says: “Ten Percent was good enough for Jesus. it ought to be enough for Uncle Sam.”
I hear you, and you might also want to query a system wherein billionaires like Donald Trump can pay zero tax for years and I believe just $750 not too long ago 🙂
It’s a tax system written by the legislators the Useful Idiots keep on electing to office. All the Ruling Class Oligarchs exploit the Tax Code to pay little or no taxes. They can afford much better Accountants and Lawyers than us Proles.
Totally agree. I’ve always thought that a flat tax income for every American would be fair. Individuals, corporations, all income levels, say 10%, on net income, after allowed deductions. I would think that would be fair! Someone who earned $100 would pay $10; someone on the far upper end whose net income was 1 billion dollars would pay 10% of that which would be 100 million, someone whose net income was 1 million would pay $100,000 and then all of us, the huge mass of in betweeners, …seems fair to me! Fair, clear, simple, and what the hell am I talking about, clear/fair/simple is not what the powers that be would ever want.
The problem with this is that paying $10 of $100 in tax has a bigger impact on the life of the individual than paying $100,000 of $1 million. Hence the argument for a progressive tax system where those more able to pay do so. In Norway there is no income tax as the Government doesn’t need the money. The downside is a cup of coffee costs more there than most places as they have some much disposable income (inflation).
Quite true what you’ve pointed out about $10 being a big deal to someone who earns $100. I have no solution for this.
The nice thing about the Fair Tax is that it skirts this problem with the monthly check it sends out. They call it a “prebate” for a tax rebate that’s sent earlier. The amount of the monthly prebate would be the taxes paid by someone at a certain income level, thus avoiding the regressive nature of a standard sales tax or a flat tax.
I live in Texas, where we don’t have a state income tax, but do have a state sales tax, it’s a much better system.
Old wine new bottle
There was no income tax before 1st World War. Though there were consumption ( sales ) ; usage ( octri) and production ( excise) tax since Roman empire era.
But still individual ( personal) income tax way way smaller compared to Corporate Income tax, which plays pivotal role in development expenditures and social services.
Most Cults works on Communist philosophies and totalitarian attitude.
Out of curiosity I looked up Steven Hayes on Kirsti’s completion page. He was new OTVIII already back in 1989. 16 long years later, in 2005, he once again did the then ‘new’ OT VIII. And again 10 years later, in 2014, he completed the Super Power Rundown. Still the cognition hasn’t popped that it simply does not work … so three years later in 2017 he tried the ‘new’ Student Hat. I must say that spending more than 30 years at the top of the Bridge still trying to learn the ultimate truth has a certain ring of persistence to it.
Someone ought to mail him a couple of episodes from Regraded Beings to open his eyes.
LRH hated the IRS. LRH was a total a$$. Still doesn’t follow that abolishing the IRS is a bad idea now. It is a corrupt institution with select enforcement often used as a political weapon. Billions of dollars and hours are spent by citizens just trying to comply. Getting rid of it is not a Scientology issue. In fact it gives common citizens that same perks that Scientology now enjoys.
No one likes the IRS but government does have its uses. Just off the top of my head there are the inspections done on the foods we purchase. Or would you prefer to trust the companies who produce and process and market our foods to ensure that when you open a can of tomato sauce there isn’t a worm in it, or a cockroach in your can of tuna, or maggots in your meat, weevils in your flour, mouse poop in your box of pasta. Good for you if you trust private enterprise to not palm off vermin and poison on you if they think they could get away with it! Good for you if you’re OK with known carcinogens being used to preserve the shelf life of food stuffsand certainly if you’re OK with no warnings on the packages about cigarettes causing lung cancer…you get the idea!
The idea of income tax repeal (often in conjunction with a national sales tax) was promoted by 1950s far right figure Willis Carto of Liberty Lobby, who Hubbard was reportedly influenced by. So my bet is that it’s likely Hubbard was once again channeling as his own, some idea originating in fringe movements not widely known at the time, and now mostly lost to time.
Typical COS tactic isn’t it? We see it all the time. They attach themselves to the coattails of another organization and imply there’s some ongoing mutual relationship. Even the founder of CATS got sucked into their fraudulent deception.
PRINCETON?!? Really – I bet he was in the honor society… bet he was class president… bet he was ever so popular. Bet Princeton has tons of documentation verifying his strong academic performance.
What total and complete bullshit.
I’m done now….
Ellanorah, in typical fashion Hubbard was twisting something mundane – in this case that he’d taken a brief military course (that he may have been sent to, to get him out of the way of the real war work he’d proven so unsuited for) regarding occupying defeated countries, that would probably have covered some very everyday economic issues like dealing with local shortages of paper money. I’ve read that it happened to take place on a part of the Princeton campus that was vacant during the war, and being rented out to the government.
So THAT’S what the Old Fox was embroidering. Incredible.
Wow!!!
Scientology needs IRS recognition to avoid being sued out of existence.
What a daft letter. And terrible idea. Even worse that someone in politics is trying to exhume this dreadful idea.
Very interesting use of the word “exhume”. I liked that very much. I’d never seen it used in that kind of context before.
I intend to use it that same way myself in the future. I just hope you won’t mind if I don’t credit you for that use of the word.
Gabriel, it is a writer’s duty to note interesting language, stories, and reusable goodies. As a writer, I applaud your noting and pinching of good word usage. I probably noted it from another. Go forth and exhume my friend.
Republicans can (like all Humans) be wrong at times.
Ron’s letter is truly embarrassing in its stupidity and also in its fawning over Reagan (and I’m not even a fan of income tax).
Right. He and Reagan were both “high up” in Hollywood…Hubbard “quite desperate” for Reagan to succeed…its a good thing I haven’t eaten yet!