National Sales Tax Replacing Income Tax

[rekinhavoc]

Stephen Moore’s Big Idea: Replace federal income tax with national sales tax Stephen Moore’s Big Idea: Replace federal income tax with national sales tax


I am all for it.

 

[Vol737]

Stephen Moore’s Big Idea: Replace federal income tax with national sales tax Stephen Moore’s Big Idea: Replace federal income tax with national sales tax


I am all for it.

Absolutely.

 

[lawgator1]

I am all for income tax reform. Simplify it. Eliminate dodges for the wealthy. But this is no answer. All it does is further insulate the wealthiest. It would exacerbate the wealth gap, which is a huge problem in this country.

 

[GoDucks349]

A couple thoughts on this. Bitcoin type transactions, barter transactions, how would these be taxed? And if not you could expect a whole lot more of these transactions as well as cash transactions. I'm not saying these aren't already a tax issue, just asking. Also, this would clearly be a burden on the poor that don't currently pay income taxes.

 

[rekinhavoc]

I am all for income tax reform. Simplify it. Eliminate dodges for the wealthy. But this is no answer. All it does is further insulate the wealthiest. It would exacerbate the wealth gap, which is a huge problem in this country.

Wealthy folks buy expensive items. They would actually pay more in taxes on their Porsche than a poor person would pay for a beater. I also like that you pay the tax on the item once. It's over. Short on money? Buy only the necessities. Skip the filet mignon and have a bologna sandwich. Everyone pays including drug dealers and anyone else skirting taxes.

The tax code is written by professional tax dodgers.

 

[Vol737]

I am all for income tax reform. Simplify it. Eliminate dodges for the wealthy. But this is no answer. All it does is further insulate the wealthiest. It would exacerbate the wealth gap, which is a huge problem in this country.

Don’t disagree with the measures to simplify. No reason the average American should spend more than 10 mins on their taxes around tax time. I would still be good with a national sales tax. Shop the discounts, lower your tax. Some items could be exempt from the tax.

 

[evillawyer]

Stephen Moore’s Big Idea: Replace federal income tax with national sales tax Stephen Moore’s Big Idea: Replace federal income tax with national sales tax


I am all for it.

Terribly regressive form of taxation.

 

[GreveHaller]

This is the best reform I’ve seen in a long, long time

Please make this happen

 

[rekinhavoc]

Terribly regressive form of taxation.

I knew the lawyers would hate it.

 

[hog88]

I still like the idea of everyone mails a check for 10% of their gross income (all income) to the IRS the last Friday before election day. No deductions and no withholding.

 

[hog88]

I knew the lawyers would hate it.

A lot of lawyers would be in the unemployment line with a simple tax code.

 

[DancingOutlaw]

Terribly regressive form of taxation.

so every American would be given a card and your first $20,000 of purchases during a year would be tax-free, so someone living at a poverty level wouldn't be paying any taxes at all. So there are ways to do this to make it progressive, so the rich pay a larger share of the tax.

Reading is fundamental.

 

[csmize]

VAT. Then we can call ourselves New Europe.

 

[MG1968]

VAT. Then we can call ourselves New Europe.

Taxing consumption instead of income is far superior and fair. But only if it truly replaces the income tax.

 

[Vol737]

Terribly regressive form of taxation.

For lawyers and government control maybe.

 

[C-south]

Wealthy folks buy expensive items. They would actually pay more in taxes on their Porsche than a poor person would pay for a beater. I also like that you pay the tax on the item once. It's over. Short on money? Buy only the necessities. Skip the filet mignon and have a bologna sandwich. Everyone pays including drug dealers and anyone else skirting taxes.

The tax code is written by professional tax dodgers.

Somehow I don’t think this would abolish property taxes.

 

[C-south]

Terribly regressive form of taxation.

But getting free money every year for placing a greater burden on the system is progressive?

 

[GAVol]

Terribly regressive form of taxation.

I agree. I don’t see how it works unless a bunch of things are exempted and other items are taxed more... or a VAT which won’t ever fly either

 

[rekinhavoc]

Somehow I don’t think this would abolish property taxes.

Probably not. That is a local thing isn't it? If you buy a mansion in Malibu you're gonna pay more than a Bama fan buying his first trailer with his sister.

 

[Ten_Titans]

Wealthy folks buy expensive items. They would actually pay more in taxes on their Porsche than a poor person would pay for a beater. I also like that you pay the tax on the item once. It's over. Short on money? Buy only the necessities. Skip the filet mignon and have a bologna sandwich. Everyone pays including drug dealers and anyone else skirting taxes.

The tax code is written by professional tax dodgers.

Yeah.. That's kind of a myth.

If rich people bought things proportionally with the rate at which they make money, there wouldn't be a wealth gap. Under a system like this there are people on the poverty line that would pay more in taxes than someone like Warren Buffet.

Just simplify income tax. It's a better solution IMO.

 

[rekinhavoc]

Yeah.. That's kind of a myth.

If rich people bought things proportionally with the rate at which they make money, there wouldn't be a wealth gap. Under a system like this there are people on the poverty line that would pay more in taxes than someone like Warren Buffet.

Just simplify income tax. It's a better solution IMO.

"And we know this, by the way, because there are nine states in the U.S. that have no income tax ... and those states have much higher rates of job creation than the states that have income taxes. The no-income-tax states include Florida, Texas, New Hampshire, Tennessee, Washington, Nevada, South Dakota and others, they are very high growth states so the states are a good example on why it makes more sense to tax people on their income and their sales rather than on their work."

"By the way, the people who would benefit the most from this plan would be lower-income Americans because there would be more jobs, more opportunities, you could have something called a rebate, so every American would be given a card and your first $20,000 of purchases during a year would be tax-free, so someone living at a poverty level wouldn't be paying any taxes at all. So there are ways to do this to make it progressive, so the rich pay a larger share of the tax."


Getting rid of the IRS means Government needs less money too.

 

[LouderVol]

Terribly regressive form of taxation.

Why? As it points out there are states that do this and they have higher rates of job creation.

I think if you tie the tax to the price of the item you can easily work around hurting the poorest.

Under 10 dollars=no sales tax
From 10.01 to 100=1%
100.01 to 1000=5%
1000.01 to 10k=10%
10k+ =15%

Idk, whatever the numbers need to be.

Maybe throw in something about total sale too to cover someone buying a whole bunch of cheap pieces to avoid the higher taxes.

Maybe same tiers as above for total purchase but with half the tax value since you are adding on.

I would be interested to see what the breakdown would be to equal our income taxes.

 

[C-south]

"And we know this, by the way, because there are nine states in the U.S. that have no income tax ... and those states have much higher rates of job creation than the states that have income taxes. The no-income-tax states include Florida, Texas, New Hampshire, Tennessee, Washington, Nevada, South Dakota and others, they are very high growth states so the states are a good example on why it makes more sense to tax people on their income and their sales rather than on their work."

"By the way, the people who would benefit the most from this plan would be lower-income Americans because there would be more jobs, more opportunities, you could have something called a rebate, so every American would be given a card and your first $20,000 of purchases during a year would be tax-free, so someone living at a poverty level wouldn't be paying any taxes at all. So there are ways to do this to make it progressive, so the rich pay a larger share of the tax."


Getting rid of the IRS means Government needs less money too.

But how are you gonna tax businesses? Also the states without a state tax have higher state sales tax. IMO we should pay income taxes just at a much lower rate without all the credits, deductions, etc. There should be no such thing as a tax refund.

 

[TheDeeble]

Something like this will never be passed. The money redistributing class warfare lovers would have a fit. Now they may pass a national sales tax, but it won't be replacing an income tax. Or any other tax probably.

They'll just find a way to take more. Because govt.

 

[LouderVol]

Yeah.. That's kind of a myth.

If rich people bought things proportionally with the rate at which they make money, there wouldn't be a wealth gap. Under a system like this there are people on the poverty line that would pay more in taxes than someone like Warren Buffet.

Just simplify income tax. It's a better solution IMO.

It doesn't need to be proportional to still hit the rich more.

And again once you have purchased something you are done with taxes. So if you are poor and not buying doodads you arent getting taxed. Same would apply to the rich.

As the article points out it's incredibly reductive to say PRODUCTION puts a burden on the system but CONSUMPTION doesnt.

This would also help encourage people to save money instead of living in debt.

It's not surprising the biggest critics are Democrats who are dependent on having a dependent population.