Posted on 11/06/2011 6:11:14 PM PST by SeekAndFind
Ok, that is the best explanation I have heard so far. My problem is that I will never trust Congress to not raise every tax they can get their hands on, especially a National Sales tax.
Creeping taxation as we have had the last 15 years.
I support a FLAT TAX with a Balanced Budget Amendment plus the 18% of GDP Cap.
I know that will be painful. But it will also end the outrageous reg addiction of the usual suspect Depts.
You can’t educate Perry or Romney supporters. Look at who they are backing for President.
a general sales tax is not and cannot be the same as a tax in a specific amount on a specific item. i cannot present the difference any more clearly. whether you choose to see the distinction or not is your business.
Thank you for the detailed explanation and the illustrations.
I think you misunderstand the term “added”. It is the tax on only the value added to a product at each stage of production, but does not tax the original value. In the end retail stage, a 10% VAT is the the same as a 10% sales tax, meaning that a 10 dollar product with a 10% sales tax or a 10% VAT will cost the same ($11), but the money is collected at multiple stages in smaller batches rather than in one step at retail.
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