Biden: Time to be patriotic, part of the deal, time to jump in

[avionix]

the more money you make the more money the state should take, I think.  And then give it to the poor people who arent smart enough to take care of themselves.  Or have substance abuse problems...are are gamblers and such.  And to pay for their family members in prison.

<insertsarcasm>then let them take yours.  but leave mine alone!!!!<insertsarcasm>

 

[Captain Virgil Hilts]

That would be <sarcasm on> followed by <sarcasm off>. And Yeager beat you to it wrt sarcasm, which was in fact all his post was.

[avionix]

My bad with the <sarcasm> quotes.  Understood his sarcasm completly I did.

[bongaroo]

What you just described is more or less fair tax.  No income tax, just a flat % sales tax.  No dodging that, everyone spends money.

[Captain Virgil Hilts]

What you just described is more or less fair tax.  No income tax, just a flat % sales tax.  No dodging that, everyone spends money.

There's a problem with that theory. A few years ago, some brilliant clowns came up with the "luxury tax", a sales tax on "luxury items". Know what happened? People stopped buying those "luxury items", and the regular working stiffs who made them got their hours cut, got laid off temporarily, or lost their jobs completely.

So when you slap a flat, "fair" sales tax on everything, do not be surprised when people stop buying things like boats, aircraft, exotic cars, etc. And do not be surprised when sales of these items are carefully hidden.

[Toad]

And do not be surprised when sales of these items are carefully hidden.

Hidden offshore most likely. Some LLC outside the US will own that stuff.

[Captain Virgil Hilts]

Yes. The solution is not to find a new way to tax, but rather to stop finding ways to spend. And to stop spending on ways that have already been found.

[john9001]

20%,30% is nuts, the max tax should be 5%, if the govt can't live on that they need to find a job.

[Captain Virgil Hilts]

Hell, our sales tax here, including the "local option" is 10.875%.

[bongaroo]

20%,30% is nuts, the max tax should be 5%, if the govt can't live on that they need to find a job.

There would be no federal income tax.  Go ahead and try to figure out how much of your income and spending is taxed and then use that as a reference.  Then think about it without you income being taxed.  It'll make more sense. 

But how would I know, I failed basic civics classes according to you.

[avionix]

I have a question about spending.  What is included in that?  Does spending include my bills like rent and electric, or is it what I spend at the grocery store?  You have to figure, that there are certain things that are not taxed in many states.  Two of them being food and clothing.  Would those now be taxed?

[bongaroo]

I have a question about spending.  What is included in that?  Does spending include my bills like rent and electric, or is it what I spend at the grocery store?  You have to figure, that there are certain things that are not taxed in many states.  Two of them being food and clothing.  Would those now be taxed?

Your income is taxed before you use that income to buy those things.  Your paying taxes on them.

There's a problem with that theory. A few years ago, some brilliant clowns came up with the "luxury tax", a sales tax on "luxury items". Know what happened? People stopped buying those "luxury items", and the regular working stiffs who made them got their hours cut, got laid off temporarily, or lost their jobs completely.

So when you slap a flat, "fair" sales tax on everything, do not be surprised when people stop buying things like boats, aircraft, exotic cars, etc. And do not be surprised when sales of these items are carefully hidden.

The income they used to buy those boats and pearl necklaces was taxed.  Half of the reason to move to this system is the IRS doesn't have to audit the 290 million some odd tax returns anymore.  They dedicate their resources to keeping track of the buisnesses in the US, which is a much more managable for their resources.

Carefully hidden sales by who?  The buisness would be more worried about shady sales like that in the new system as the IRS would have all their auditors, who have no personal income tax returns to review, available to pursue shady buisnessmen.

People hating on Illegal immigrants for not contributing?  Not a problem if their spending is taxed, since under the table pay isn't taxed now anyways.

Anymore excuses?  Most of your questions have logical and well thought responses.  The good that would come with Fair Tax would far outweigh the bad and is certainly superiour to our current system.

[avionix]

I understand what you are saying about a flat tax on income.  What I was asking about was if we went to a national sales tax?  Would I be taxed on necessities and what would be considered a necessity?  I would prefer the flat tax on income as we don't pay state income tax.   

[crockett]

I say have a flat sales tax.. however the powers that be (big business lobbyist) will never let that happen. That is the only fair system, because you are only taxed on what you spend.

[caldera]

Oh my god. I agree with crockett. I feel woozy.