The Michigan Fair Tax Association (MFTA) today announced that Dawn Dayton has been selected as MFTA's first-ever Executive Director.  Previously, MFTA was staffed solely by volunteers from its 30,000 members.  Dawn comes to MFTA with extensive experience managing and growing non-profit organizations, such as the American Society of Employers, the Michigan Small Business Development Centers, and the Arthritis Foundation.

"Dawn was chosen from a highly-competitive pool of applicants," said MFTA's President, Roger Buchholtz.  "She brings a unique combination of experience, skills, and passion to this new position.  She is exactly the type of person we sought to lead our organization."  MFTA is working with legislators, citizens, and businesses to put the Michigan FairTax Proposal (MFTP) on the Ballot in November 2010 to make Michigan the #1 place to locate new business.  "Michigan was once a leading economic state but is now at the bottom of the list.  We are losing companies, jobs, and people largely due to our tax structure," said Buchholtz.

Dawn has worked in public, government and community affairs since 1992 in foundations, trade associations, higher education, and community-based, non-profit organizations in, and around, Detroit.  She graduated from Michigan State University and later completed a Fellowship with the Michigan Political Leadership Program at Michigan State.

"I'm delighted to know MFTA will be in such good hands, as it continues to grow under Dawn's leadership.  I think MFTA's supporters around the State are going to be impressed by what's ahead," said Buchholtz.

Ms. Dayton said she was drawn to MFTA's mission because of Michigan's dire, and worsening, economy.  "The current tax system is not working for Michigan.  It's complicated, unfairly burdens lower and middle-income families, and it is driving businesses and jobs out of Michigan.  I look forward to the transparency and fairness in our tax system that MFTA's forward-thinking volunteers have already set forth," she said.

The Michigan FairTax Proposal, once enacted into law, will completely replace the Michigan Income Tax, and most business taxes, with a simple 9.75% retail sales tax.  As a result, people will be taxed only once on a purchase, and no longer will business taxes be hidden in prices.  For the first time in generations, citizens will be able to see their true tax burden as it will appear on every sales receipt.

All purchases made by Michigan citizens will be made with pre-tax dollars because there will be no Michigan income-tax withholding.  The sales tax will go up 3.75 cents, but residents will keep the 4.35 cents per dollar that is currently withheld for income tax.  To protect the poor and middle-income households, every legal Michigan household will receive a "prebate" payment that effectively un-taxes spending up to the poverty level.  Due to the prebate, and other uses of income that are not taxed (e.g., savings), a typical effective tax rate, for a family of four at median Michigan income, will be ~2.5%.  Thus, the "prebate" makes this sales tax progressive.  It varies from 0% at low spending levels to 9%+ at high spending levels.  The MI FairTax is:

• Simple.  When you buy something you are paying your taxes; no income tax filings.

• Fair.  Similar-sized households receive the same prebate and everyone pays at the same tax rate; no loopholes.

• Visible.  Our taxes will be shown on every sales receipt, rather than hidden in the prices we pay.

• Economically Expansive.  Michigan will have the most favorable tax environment for business and residents