Reading both viewpoints has really confused me on this Cruz ‘vat’ idea even after I wrote two vanities on it and encouraged feedback.
[I’ll post some info to ‘all’ after this. Would still like informed feedback.]
While I’m a Trump supporter, we should go back to only taxing consumption:
1. We get rid of the IRS.
2. Taxing businesses is also more efficient than trying to snoop into the income of every US resident.
3. LESS CORRUPTION.
Lobbying has a lot more trouble hiding in the woodwork because purchase prices are much simpler than calculating net profits.
4. Income tax is a damper on earning income. An economic drag. Changing to a consumption tax encourages saving money.
5. If done pragmatically, the poor can get better and more evenly distributed tax credits than ever to boot. No more social engineering.
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The transition into this tax plan is what scares people. ‘Better the devil you know’, they think. If you go piecemeal, then you still have the income tax. If you go whole hog and leap from the plane, they wonder if the parachute was packed properly.
And unfortunately for Cruz, if FReepers are baffled by his plan, then he’s had a tough row to hoe on this issue.
That’s why Rubio went at him the way he did. Cruz failed to clarify his message.
[now for specific info posted to ‘all’]
There’s no constitutional solution that voters would accept right now that actually improves our economy, so the word ‘progressive’ means little on this issue at this time.
According to Patlin, both Cruz and Trump have unconstitutional tax plans:
Quote:
Cruz’s plan is not a VAT tax, however, it is an unconstitutional tax as it would continue to misapply the law just as the current income “excise” tax is misapplied. Also, $36,000 for a family of four is NOT middle class in today’s economy.
The fact is, the numbers in Ted’s tax plan do not add up, and not to be biased about the subject, as a Trump supporter, I can honestly tell you that Trump’s flat tax plan is not any better. The problem is downsizing government, educating the public as to the true nature of what and “excise” tax is and does that “excise” refer to “all that one deposits in their bank account”. Therein lay the problem of the bloated government beast, the misapplication of a 100% constitutional Article 1 “excise” tax.
— patlin