DeLay calls for national sales tax

[Spencer278]

Originally posted by: smashp

Originally posted by: Jhhnn
More anti-tax mutterings from the masters of bait and switch economics. The numbers ought to be very interesting, if this crackpot scheme even gets that far. I wonder if he plans on charging sales tax on stocks and bonds, or real estate, or any of the annuity/investment insurance opportunities available to those who can afford them. Probably not, huh?

That is an Interesting point to bring up. How are Finacial Gains on investment Taxed if they are at all.

It could be a double edged Sword. Think of all the Tax-free investments that would be meaningless that ENCOURAGE investment.


Plus the Downside to this System is that it Concentrates Wealth into a smaller Percentage of the populace. That ELITE Class of People passes their money down within their family's and eventually the Country will be completly owned by a small Lordship within the Country.

I dont Hate the rich, but I feel money is Power and when the wealthy push to ever increase their wealth, I really feel they are doing so to gain power. With this system the wealth gap would be larger.

A sales tax would kill nearly all investment. Right now the intrest rate is at what 5%. With a national sales tax, unless it was based on deperation of an item, would take 20-30% right off the top on all purchases.

 

[PingSpike]

What kind of a sales tax percentage wise are we talking here?

Can some one explain exactly what the 'flat tax' plan is suppose to be?

I reserve judgement on this since I don't know enough about it.

 

[Mill]

I'm struggling with the I know person X who doesn't pay crap on their taxes. Yes itemizing and using SOME loopholes can really help cut your tax burden, but unless you are a corporation you aren't really going to be able to pay zero taxes. You'd have to get really really really creative to do that. If you've got a regular pay check you really don't have much choice about income tax. If you are self-employed or do your own books then certainly you can risk it and "evade" certain portions.

 

[XZeroII]

Do you know why they are pushing for this? Because our Tax code is so confusing right now that no one is paying or recieving what they are supposed to. When you sign your taxes where it says that you agree that everything here is 100% correct, did you know that you are committing purjury? Here are some ineresting facts:
Money Magazine asked 50 professional tax preparers 10 basic tax questions. None of the 50 perparers aced all 10 questions.

Money Magazine hired 45 professional tax preparers to fill out a hypothetical family's 1996 return and they have 45 different answers for how much that family owed in taxes.

Former IRS Commissioner Fred Goldberg stated "They're dealing with a system that is grotesquely complex with rules that none of us can really understand..."


Interesting...

 

[lozina]

I like this man's proposal. The IRS is a terrorist organization using the complexity of the income tax to achieve their goals. To eliminate the illegal income tax would reduce them to the simple tax-enforcement agency they should be. Even a flat-tax would be better than the current income tax system, as long as there are no exceptions/loopholes/twists and turns. Just a basic simple flat tax.

 

[ElFenix]

there is already a national sales tax on labor.
the legal burden of a tax doesn't change the economic effect. the only thing that will change the economic effect is to change the amount.

the tax structure definitely needs simplifying.

 

[ElFenix]

Originally posted by: XZeroII
Do you know why they are pushing for this? Because our Tax code is so confusing right now that no one is paying or recieving what they are supposed to. When you sign your taxes where it says that you agree that everything here is 100% correct, did you know that you are committing purjury? Here are some ineresting facts:
Money Magazine asked 50 professional tax preparers 10 basic tax questions. None of the 50 perparers aced all 10 questions.

Money Magazine hired 45 professional tax preparers to fill out a hypothetical family's 1996 return and they have 45 different answers for how much that family owed in taxes.

Former IRS Commissioner Fred Goldberg stated "They're dealing with a system that is grotesquely complex with rules that none of us can really understand..."


Interesting...

have a link for that, i'd like to read it

 

[LordMagnusKain]

Originally posted by: Spencer278
I don't think there would be enough support to switch to a sales tax. There are only two groups that would want to make the change, People that are making alot of money, and don't have a lot savings, and people that fear the goverment knew their income.

Anyone with any sort of saving including old people could kiss what ever precent of there money good bye if it was ever implenented.

how's that? wouldn't decreased consumption reduce prices?

 

[chess9]

For a system that is supposedly full of cheats, the IRS gets an awful lot of money from cooperative Americans. Although the system is complex, I wouldn't scrap it for a Flat Tax or National Sales Tax without having a lot more information. Who would want to take that kind of risk with our national budget? I wouldn't want to imperil our military, national parks, NASA, etc. just because a few folks think their scheme MIGHT be better.

First, do no harm.

-Robert