Get ready for a National Sales Tax

[Teresa Heilevang]

In a recession, government receipts decline.  And then you have this: an idiot of a President that signs into law a Health Care Bill that the American people don't want and will probably bankrupt the country in the long run.  Trying to find revenues to support the HC program is going to become increasingly more difficult as time goes by, so Obama's policy makers will have to look to alternative forms of revenue and the number one choice will be a National Sales Tax.  Now, if this is adopted, it would have both positive and negative effects that must be carefully considered.  Lets face it, they need the money to pull this thing off, so get ready. It's comin' folks~~

National Sales Tax:
Function
At its core, a national sales tax would levy taxes on consumer items. Although legislators would ultimately decide what items would be included, most proposals of a national sales tax exclude necessities such as food, clothing and housing.

Theory
Proponents of a national sales tax argue that it would be relatively fair; that is, consumers choose to purchase products in excess of necessities, therefore consumers would be making a rational decision to pay the tax. A national sales tax might replace the current, relatively complex income tax system.

Benefits
The obvious pros of a national sales tax include a new government revenue stream and simplicity. New tax receipts could help fund national programs or agencies or help to repair bridges and roads, for example. Consumers already buy products, so implementing a national sales tax would not place reporting burdens on individual taxpayers.

Cons
Opponents of a national sales tax question the burden it would place on retailers, who would be required to collect and report the tax. Another con is the regressive nature of a national sales tax because the poor would potentially pay a much higher percentage of their income in taxes.

Conclusions
Any pros and cons of a national sales tax must ultimately be considered around actual proposed legislation. If, for instance, the tax included certain items of clothing not deemed necessities, then the possibility of increased revenues must be reexamined against any potential for regression.

Charles Krauthammer on the National Sales Tax:

[Hazcat]

National sales tax and / or a VAT.  REAL soon!

[twyacht]

Just like Europe.....I think Britain's VAT was recently raised to 27%, higher on specific "luxury items",....

They all started low, 3-5%, but Europeans never saw a tax they didn't like, and just keep raising it.

Gee, think the Left thinks the same way?

 

[MikeBjerum]

Bring on sales tax!  I would love it ... If of course they Replaced rather than supplemented other taxes.

Income tax isn't bad if it fairly applied to all citizens.  It is based on your income and ability to pay.  Sales tax is the same.  The tax we need to eliminate is property tax.  There is no tie to ability to pay and the taxation.  If I go buy $5,000 worth of materials, and use my spare time and talent over the next 10 weekends to add to and improve my home my valuation goes up by $20,000, and I take a 25% annual property tax hike 

[philw]

National sales tax and / or a VAT.  REAL soon!

we have that  called GST   10% tax  on just about everything

[Sponsor]

[fightingquaker13]

Not only is this grossly unfair, taxing spending rather than wealth, and shifting (even more) the burden of taxation to the working class rather than the wealthy, but it is also counter productive. We should call it the "National anti-small business tax". Every dollar you spend will go x percent less far. We are in a recession in a consumer  based (don't even get me started on how we came to that) economy. Make every restaraunt meal I eat and every item I buy 10% more expensive, and I will probably buy 10% less as money is tight right now and credit has dried up. Its shooting yourself in the foot to pursue this in a time when we want to get people to spend more.
FQ13
PS those who disagree with my first statement? Ask yourselves why the GOP voted to eliminate capital gains taxes (an excessive, but  good move), but never even considered cutting FICA (a less than good move). Then I'll listen.

[Pathfinder]

we have that  called GST   10% tax  on just about everything

Canada is worse. In addition to the national GST of 7%, they also have provincial taxes of from 5-8%. So in some places, like Nova Scotia, a combined "sales" tax of 15%.

I think 1 province (Alberta?) does not have the provincial tax.

PS those who disagree with my first statement? Ask yourselves why the GOP voted to eliminate capital gains taxes, but never even considered cutting FICA. Then I'll listen.

Nice move, "libertarian". As the national ship of state sinks due to the new captain blasting holes in the hull, you keep kicking the former captain. Seems almost pathological with you.

Or, as an alternative, stay focused on the fight we have instead of fighting the last war.

[Bic]

First, I don't want any new taxes of any kind.

BUT, if you have to be subjected ton  either a 'Sales Tax' or a 'V.A.T.' modeled on the British system of V.A.T.  - go with the Sales Tax. It takes many thousands of extra government agents to police a V.A.T. system in which the tax is calculated at every stage of an items production.
When I lived in U.K. the "Vatman" was the most vilified of officials.

[fightingquaker13]

Nice move, "libertarian". As the national ship of state sinks due to the new captain blasting holes in the hull, you keep kicking the former captain. Seems almost pathological with you.

Or, as an alternative, stay focused on the fight we have instead of fighting the last war.

Path as far as I am concerned there are not enough kicks in the world for W.. I rate him about as highly as Rush (and I) rate Clinton. Still, your point is well made about not fighting the last war. I would merely say that this absurd pretense that FICA is different than an income tax has been BS since the late lamented Claude Pepper's (blue dog D, Fl.) social security "lock box" was broken into from the early '90s till today. Its all part of the federal budget for all practical purposes. Any party that says they want to cut taxes yet ignores the tax that burdens the majority of Americans the most is full of something that ryhmes with wit as far as I'm concerned. The Dems are no better, its why I am a libertarian. As for your quote marks? Well, to quote Eric, you can fold them sideways and shove...., wait, I'm not Eric and I just want get your opinion on what I think is a valid point. If you disagree, tell me why. I will listen.
FQ13

[r_w]

on what Constitutional basis???





not like that has stopped them lately....