 In the period before the FairTax is implemented , there could be a strong incentive for individuals to buy goods without the sales tax using credit . After the FairTax is in effect , the credit could be paid off using untaxed payroll . If credit incentives do not change , opponents of the FairTax worry it could exacerbate an existing consumer debt problem . Proponents of the FairTax state that this effect could also allow individuals to pay off their existing ( pre @-@ FairTax ) debt more quickly , and studies suggest lower interest rates after FairTax passage . 
