I don’t know about you, but these articles make me less comfortable about our future. I’ve lived in EU, and travel there almost every year. I can’t belive how expensive stuff is there. With even a remote chance that a like VAT tax will be implemented here, it will kill the American life style/consumerism…… I guess we have to find a way to pay for our political mistakes, so one more tax upon us.
Source: CNN Money
”
Like it or not, there’s only one way we’re going to be able to pay for our ballooning deficit: a value-added tax.
It’s highly possible, if not inevitable, that Americans will soon live under a radically different tax system – one that the pundits and politicians aren’t talking about.
It’s called a value-added tax, or VAT, and it’s been used for decades to pay the bills and sustain the immense growth of governments around the world, from France to Mexico to Australia. Created in 1954 by a French economist, the VAT is the most potent, efficient machine for revenue generation yet invented.
And if there’s one thing the U.S. government needs as the federal budget balloons, it’s a ton of new revenue. “The bottom line is that the income tax cannot support the level of spending that’s projected, something other countries faced years ago,” said Roberton Williams of the Tax Policy Center, a non-partisan research institute. Today the VAT raises almost half of the total government revenue in France, and a similar share in most of the developed world.
Take, for instance, a car with a sticker price of $30,000 and a value-added rate of 10%. Ford might buy its steel and other materials for $8,000 plus $800 in a VAT tax. A dealer then pays $25,000 plus a $2,500 tax for the finished vehicle. Ford takes an $800 credit for the tax it already paid and sends $1,700 to the government. A buyer then pays $30,000 for the SUV and $3,000 in taxes. The dealer collects the $3,000, takes a credit for the $2,500 worth of taxes already paid, and sends $500 to tax authorities. Ultimately, the government pockets $3,000, or 10% of the retail price of the car, in taxes. ……………….
Stop it with illegal immigrant bashing. They pay all kinds of taxes with little benefits. If they work with fake social security cards, they pay social security taxes and unemployment taxes without benefits.
*
I would rather have a national sales tax because a VAT is added a every level of distribution and obfuscated from the consumer. It’s better if the tax amount is separate and clearly visible to the consumer.
Stop it with illegal immigrant bashing. They pay all kinds of taxes with little benefits. If they work with fake social security cards, they pay social security taxes and unemployment taxes without benefits.
*
I would rather have a national sales tax because a VAT is added a every level of distribution and obfuscated from the consumer. It’s better if the tax amount is separate and clearly visible to the consumer.
Stop it with illegal immigrant bashing. They pay all kinds of taxes with little benefits. If they work with fake social security cards, they pay social security taxes and unemployment taxes without benefits.
*
I would rather have a national sales tax because a VAT is added a every level of distribution and obfuscated from the consumer. It’s better if the tax amount is separate and clearly visible to the consumer.
Stop it with illegal immigrant bashing. They pay all kinds of taxes with little benefits. If they work with fake social security cards, they pay social security taxes and unemployment taxes without benefits.
*
I would rather have a national sales tax because a VAT is added a every level of distribution and obfuscated from the consumer. It’s better if the tax amount is separate and clearly visible to the consumer.
Stop it with illegal immigrant bashing. They pay all kinds of taxes with little benefits. If they work with fake social security cards, they pay social security taxes and unemployment taxes without benefits.
*
I would rather have a national sales tax because a VAT is added a every level of distribution and obfuscated from the consumer. It’s better if the tax amount is separate and clearly visible to the consumer.
.
