IRS gets records from PayPal

All this upset over the government trying to get search records from Google. But here is another government agency, the IRS, compelling PayPal to turn over records:

A federal court in San Jose, California, gave the IRS permission to ask PayPal Inc. -- a company that enables online money transfers -- for account information for American taxpayers who have bank accounts, credit cards or debit cards issued by financial institutions in more than 30 countries reputed to be tax havens.

Link here via /.

I’ve not had bad experiences with the IRS personally. But income tax is so 20th century. It was, in fact, deemed unconstitutional by the Supreme Court in the early part of the 20th century, until an amendment had to be ratified just to make it legal.

How about something like the FairTax, that is strictly a tax on retail items with exemptions for the indigent?