2016 Election

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#1,636
#1,636
hog88 said:
Well then I paid the sales tax.

Here's one for you.

My leasing company buys a truck, leases it to me. Who pays the sales tax?
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K, forget online and answer the question I asked. That complicates the explanation (even tho the answer that BOTH SHARE THE BURDEN is the same).
 
#1,638
#1,638
hog88 said:
He's probably getting technical. The seller collects the sells tax from the consumer but the seller is the one who technically pays the sells tax.
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Did you read my SS and medicare example? I think you would get it.
 
#1,639
#1,639
n_huffhines said:
Let me illustrate the point. These numbers are not realistic, they just help to facilitate the conversation.

Say you get "paid" $15 an hour. You contribute $5 to SS and medicare. I am pretty sure you don't like that. But they sell you on it by saying, "hey! we make your employer pay $5, too! Sounds like a great deal, huh?"

It's not. Your employer does not care how much money you get. All they care about is how much they spend on you. The cost of employing you is $20/hour.

In other words, they are willing to pay you $20/hour (and essentially they are, you just don't see it, and you don't realize it).

But you take home $10. Now it's not certain that you would get the whole $20 if it weren't for those taxes, but you would definitely stand a much stronger chance of getting something in between $15 and $20 from your employer.

So if it's $18 that they would have paid you, the shared burden of the tax is you paying $8 and them paying $2, not $5 and $5, like government presents it.

You are getting duped. It doesn't matter where the tax is actually assessed, the burden is shared.
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Bump
 
#1,642
#1,642
Gramps said:
It lies with the business owner.
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How so? If you physically pay all of the tax yourself, otherwise you can't buy the item, how does the burden entirely fall on the entity who didn't take any money out of their own pocket?

To clarify, I am not asking about legal liability.
 
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#1,647
#1,647
n_huffhines said:
How so? If you physically pay all of the tax yourself, otherwise you can't buy the item, how does the burden entirely fall on the entity who didn't take any money out of their own pocket?

To clarify, I am not asking about legal liability.
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The business owner is responsible to pay the state x% on his taxable sales. The business owner does not have to collect tax from his customers, he is responsible to pay sales tax on all his taxable sales.


What if Mr Business Owner decides he is not paying the state taxes on the goods he sold.

Who is the state going to go after to collect the sales tax, the customer or the business owner?
 
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#1,648
#1,648
n_huffhines said:
Bump
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Sorry, it only makes sense when it is used in an example about how increasing taxes on corporations just means higher costs for products. When you talk about it in a sense that makes the every day employee the one paying it, it no longer works because it causes cognitive dissonance with respect to the world view that all of society is supported by corporations and businesses, not people.
 
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#1,649
#1,649
Gramps said:
The business owner is responsible to pay the state x% on his taxable sales. The business owner does not have to collect tax from his customers, he is responsible to pay sales tax on all his taxable sales.

What if Mr Business Owner decides he is not paying the state taxes on the goods he sold.

Who is the state going to go after to collect the sales tax, the customer or the business owner?
Click to expand...

Did you miss the part where I said I'm not talking about legal liability?

Did you miss the part where I said YOU PAID HIM SALES TAX? Why are you talking about some weird scenario where the biz owner does not collect sales tax? I've been buying stuff my whole life and have never had the luck of the store not charging me sales tax.
 
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#1,650
#1,650
Gramps said:
The business owner is responsible to pay the state x% on his taxable sales. The business owner does not have to collect tax from his customers, he is responsible to pay sales tax on all his taxable sales.


What if Mr Business Owner decides he is not paying the state taxes on the goods he sold.

Who is the state going to go after to collect the sales tax, the customer or the business owner?
Click to expand...

Shh. Huff is creating a whole new fantasy land of economics in his mind.
 
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