Federal Sales/Value added Tax. ?

[ishtat]

USA is almost unique in having no national Federal Sales or Value Added tax(VAT). That gives it a massive disadvantage in International trade because the countries which do have these taxes don't levy them on exports. Thus countries like Germany with 20% VAT on domestic sales are ultra price competitive overseas.

Is there any possibility of such a tax being considered because if Trumps plans come to fruition on income/corporation tax the 1% would get practically all of the benefit and the blue collar voter next to none. It seems to me that the only way a tax reduction for the lower paid could be financed would be through the imposition of a broad based VAT/Sales tax.

The States would scream blue murder of course, at least the 45 that collect a sales tax, it would certainly squeeze their ability to expand their tax base.

A federal sales or VAT appears to be constitutional.

 

[BotanyBoy]

Is there any possibility of such a tax being considered because if Trumps plans come to fruition on income/corporation tax the 1% would get practically all of the benefit and the blue collar voter next to none. It seems to me that the only way a tax reduction for the lower paid could be financed would be through the imposition of a broad based VAT/Sales tax.

Why do you say that?

Also taxing the consumer would hurt the lower paid folks more.

Might as well tax gas and milk some more, it's the only way to prosperity!!

 

[Que]

Great way to punish the middle class and to put a nice drag on the economy!

 

[richard_daily]

Why do you say that?

Also taxing the consumer would hurt the lower paid folks more.

Might as well tax gas and milk some more, it's the only way to prosperity!!

Great way to punish the middle class and to put a nice drag on the economy!

So who should we tax and how, to "help the middle class" that you guys pretend to care about?

 

[4est_4est_Gump]

The reason it is employed is because it is hidden.


As pointed out, the 1% and government get to rape the middle class (and the poor) and not appear to be responsible for the rape. This is why the European ruling class loves taxes like VAT. When a supplier hands you a receipt at the point of purchase, you might see the sales taxes you pay, but they're not going to report the VAT amount anymore than they are going to share with you the cost of compliance that ever more intricate and Byzantine taxing schemes creates.

FairTax.org

 

[richard_daily]

Show me the tax structure that any right winger is proposing that benefits the middle class, more than it benefits the rich.

The right wing is beholden to their masters: the plutocrats.

 

[water505]

Show me the tax structure that any right winger is proposing that benefits the middle class, more than it benefits the rich.

The right wing is beholden to their masters: the plutocrats.

The Fair Tax, dummy. It taxes consumption instead of income. You hate it because it doesn't punish achievement.

 

[4est_4est_Gump]

You cannot talk to the terminally stupid because they are too busy talking at you...



Dick isn't about to go research the fundamentals, he's too busy with his war against the 1% and anyone who does not share his hatred.

What can you do? Me? I just ignore him.

 

[water505]

You cannot talk to the terminally stupid because they are too busy talking at you...



Dick isn't about to go research the fundamentals, he's too busy with his war against the 1% and anyone who does not share his hatred.

What can you do? Me? I just ignore him.

That's like not watching my favorite comedian doing his best routine. He's a caricature.

 

[4est_4est_Gump]

You can only find Carrot Top funny for so long before you switch to Smashing Pumpkins...

 

[richard_daily]

The Fair Tax, dummy. It taxes consumption instead of income. You hate it because it doesn't punish achievement.

It benefits the rich far more than it benefits the middle class or poor.

The problem is that very high-income households spend only a fraction of their income, while low- and middle-income people spend all or most of what they make. A sales tax, by design, exempts a large share of income at the top. If it includes a prebate to protect people at the bottom and doesn’t add to the deficit, then it must raise taxes on people in the middle.

https://www.forbes.com/sites/beltway/2015/05/27/the-trouble-with-the-fairtax/#590021fb5d7b

The fair tax plan is a progressive tax where the rich pay more and the poor and middle class pay less, but this is only true if an individual spends 100% of his earnings on taxable expenses. Unfortunately, the wealthy don’t live from pay check to pay check and would rather invest than spend their money. This means people above poverty level will bear the brunt of the tax burden.

http://connectusfund.org/10-biggest-pros-and-cons-of-the-fair-tax-act

Try again. Or just do the same old tired song and dance for your masters...

 

[water505]

You can only find Carrot Top funny for so long before you switch to Smashing Pumpkins...

Dick is consistently hilarious. I'm convinced he and his mental clones get off on the verbal abuse every time they say something stupid. Why else would someone repeatedly subject themselves to ridicule?

 

[4est_4est_Gump]

I have no answers; to each his own [counsel].

 

[richard_daily]

Dick is consistently hilarious. I'm convinced he and his mental clones get off on the verbal abuse every time they say something stupid. Why else would someone repeatedly subject themselves to ridicule?

It takes a really stupid "man" to think he's winning an argument that he can't even show up for.

Hint: that stupid "man" is you.

 

[richard_daily]

I have no answers; to each his own [counsel].

Maybe you can ask American Thinker for an answer?

 

[water505]

It benefits the rich far more than it benefits the middle class or poor.



https://www.forbes.com/sites/beltway/2015/05/27/the-trouble-with-the-fairtax/#590021fb5d7b


http://connectusfund.org/10-biggest-pros-and-cons-of-the-fair-tax-act

Try again. Or just do the same old tired song and dance for your masters...

Hahahaha!!!!!

You have no opinions, ideals, or beliefs of your own. As usual all you can do is post links to an opinion piece because you're totally uninformed...about everything. The REAL reason you hate the Fair Tax is it takes power away from the federal government (that you love with your entire being) and your bash the rich childish nonsense. You're full of shit. As usual.

And STFU, Miles!

 

[4est_4est_Gump]

The Forbes is a dead link...

 

[water505]

Maybe you can ask American Thinker for an answer?

Like Forbes in your post?

You love making a fool of yourself.

 

[water505]

The Forbes is a dead link...

Well, he's a dead link, too.

What a fucking maroon...tells you to go to American Thinker after he posts a link to Forbes...

Now he'll REALLY get pissed.

 

[jaF0]

I'm not at all in favor of higher taxes, but I would like them more evenly applied. A 20% VAT is literally insane and highly offensive. I've heard that taxes Belgium work out to about 60% of a person's annual income. Can that possibly be true?


I think a 4-6% sales tax on all web purchases would be workable though. Too many people cheat their state out of sales/use taxes by not reporting them as required. Most don't do it as 'cheating' but simply because they don't know it's required or because the reporting requires too much work to keep track of purchases.

The expansion of web sales has significantly hurt local businesses and caused the closure of many retail locations. This also hurts consumers who don't want to buy on the web or don't have sufficient internet capabilities to use ever more complicated websites. They end up having less places to shop and less choice of products overall. It also hurts local communities in the loss of business taxes and employment.

This web tax would be collected by the site at time of payment and remitted to the buyers' state whether or not that state has a current sales or use tax and without regard to which state the retailer/website is based in. The whole 'nexus' issue would be eliminated.

Sites like Amazon and eBay would be required to do this for all 'new' items regardless of which seller offers the item or where the seller is based.

States could choose to allow residents to get tax credits for some things, or to require residents to pay the difference if the state rate is higher or if local sales taxes are in play.

It would be a flat percentage for all items shipped to any location regardless of any local sales taxes. That means websites don't have to keep up with every changing tax laws and rates which means less burden on them, which could mean better prices.

This would not be administered by the US in any way, so no increase in federal spending.

 

[water505]

I'm not at all in favor of higher taxes, but I would like them more evenly applied. A 20% VAT is literally insane and highly offensive. I've heard that taxes Belgium work out to about 60% of a person's annual income. Can that possibly be true?


I think a 4-6% sales tax on all web purchases would be workable though. Too many people cheat their state out of sales/use taxes by not reporting them as required. The expansion of web sales has significantly hurt local businesses and caused the closure on many retail locations. This also hurts consumers who don't want to buy on the web or don't have sufficient internet capabilities to use ever more complicated websites.

This web tax would be collected by the site at time of payment and remitted to the buyers' state whether or not that state has a current sales or use tax and without regard to which state the retailer/website is based in. The whole 'nexus' issue would be eliminated.

Sites like Amazon and eBay would be required to do this for all 'new' items regardless of which seller offers the item or where the seller is based.

States could choose to allow residents to get tax credits for some things, or to require residents to pay the difference if the state rate is higher or if local sales taxes are in play.

It would be a flat percentage for all items shipped to any location regardless of any local sales taxes. That means websites don't have to keep up with every changing tax laws and rates which means less burden on them, which could mean better prices.

This would not be administered by the US in any way, so no increase in federal spending.

Actually it's your post that's literally insane and highly offensive. At least show the link from where you copied this drivel from.

The last sentence of your post is complete nonsense.

 

[4est_4est_Gump]

4-6% going to the feds who then get to decide how to spend it?


That's still a tax on the middle class and poor that they just cannot bear.


And, I believe that for states who require it, internet sellers like Amazon have to collect sales taxes and forward them to the states. I'm not sure about local sales taxes and I'm cooking breakfast, so I have to not burn the bacon instead of researching, but I think I've read something about the very recently.

 

[jaF0]

4-6% going to the feds who then get to decide how to spend it?

"This web tax would be collected by the site at time of payment and remitted to the buyers' state ... "

And, I believe that for states who require it, internet sellers like Amazon have to collect sales taxes and forward them to the states. I'm not sure about local sales taxes...

Some larger sites do, but there are loads of exceptions and smaller sites often don't due to the burden of keeping track of tax rates. Some places have a state, county, city and special sales taxes all required for some items. This would eliminate all of that on all web sales and go with the flat percentage.

 

[4est_4est_Gump]

So you are advocating the Federal government dictate the State, county and city tax rates in a one-size fits all solution?

 

[jaF0]

Reading is fundamental.

I'm advocating that the Feds mandate websites/retailers collect a flat percentage for all interstate sales and remit it to the buyers' states. States and localities can still set their own rates and require residents to pay rates that are in excess of the flat rate.

This only guarantees that states get something from each sale instead of the nothing they often get now since so many residents do not claim the use tax.