netsecurity
Shooter
I wonder why raising tax on the rich is what Obama has been focused on all these years. We know raising tax on the rich isn't going to eliminate our deficit, let alone our debt. We need drastic change to our tax code with four goals: 1) Simplify, 2) Increase revenue, 3) Fairness, 4) Stimulate growth. Taxing the rich defies all but one of these goals.
The Internet is being used to purchase more and more goods each year without paying sales tax. We buy goods on Ebay, Amazon, etc. from out of state specifically to avoid local sales taxes. This is a drastic change in our economy, and is certainly indirectly causing states to borrow more from the federal government, increasing debt. This requires drastic change to meet the needs of our time.
A federal sales tax would be a "fair" tax, applied evenly to everyone, since you only pay when you buy things. Illegal aliens would pay it, rich would pay it, and the poor would pay it. But the rich would still end up paying far more, because they buy far more (currently they pay zero federal sales tax on each yacht, mansion, Ferrari...), and the poor would pay less inherently because they buy less. There is no need for graduated tax rates, exemptions, or any complexity whatsoever. It is precisely what this country needs to get back on its feet and modernize our economy forever.
To do this we must eventually ELIMINATE INCOME TAX altogether. And absolutely no one inside the country should be exempt, no 501C3, no government exemptions, and no exemptions for people with food stamps, no exemptions for business to business wholesales, etc...just keep it simple! If a business doesn't want to be taxed for buying it's parts, then it should make them.
When the income tax is eliminated our net pay would increase, while our employers could still pay us less, potentially making them more profitable. Best of all may be that our products would be far cheaper to export (the only exemption would rightfully be sales to other countries where they apply their own sales tax). Imported parts and products would be taxable (take that China)!
Okay, so tell me why this would not work? I know the transition would be technically difficult, but assume that is overcome, and tell me how this wouldn't accomplish all four goals?
The Internet is being used to purchase more and more goods each year without paying sales tax. We buy goods on Ebay, Amazon, etc. from out of state specifically to avoid local sales taxes. This is a drastic change in our economy, and is certainly indirectly causing states to borrow more from the federal government, increasing debt. This requires drastic change to meet the needs of our time.
A federal sales tax would be a "fair" tax, applied evenly to everyone, since you only pay when you buy things. Illegal aliens would pay it, rich would pay it, and the poor would pay it. But the rich would still end up paying far more, because they buy far more (currently they pay zero federal sales tax on each yacht, mansion, Ferrari...), and the poor would pay less inherently because they buy less. There is no need for graduated tax rates, exemptions, or any complexity whatsoever. It is precisely what this country needs to get back on its feet and modernize our economy forever.
To do this we must eventually ELIMINATE INCOME TAX altogether. And absolutely no one inside the country should be exempt, no 501C3, no government exemptions, and no exemptions for people with food stamps, no exemptions for business to business wholesales, etc...just keep it simple! If a business doesn't want to be taxed for buying it's parts, then it should make them.
When the income tax is eliminated our net pay would increase, while our employers could still pay us less, potentially making them more profitable. Best of all may be that our products would be far cheaper to export (the only exemption would rightfully be sales to other countries where they apply their own sales tax). Imported parts and products would be taxable (take that China)!
Okay, so tell me why this would not work? I know the transition would be technically difficult, but assume that is overcome, and tell me how this wouldn't accomplish all four goals?