Can't believe no one has mentioned the elephant

^_^ · Post by **^_^** » 11-11-06, 4:19 pm

I am not here to make recommendations on a sales tax, I'm not an economist, I just understand that the way it is being done is anti-expansion. I mean, really, what is the point of penalizing people for making money. What growth can come out of that? I agree taxes have to happen, and I would hope that those who would establish said tax would be reasonable about it. I'm just asking that what I make not be taxed as soon as I get it. Give me a fighting chance to earn, then save so I can spend what I already have instead of taxing me up front, forcing me to borrow for what I need because 30% of my money was taken before I could spend it. Seems to me that it would encourage consumer spending which would expand the economy, in turn expanding sales which would give the government what it really wants. More money. The sales tax would only be on the consumer end, wholesalers selling to resellers would not pay, it would be the retailers who are already collecting state tax. I'd be willing to bet that adding 5% sales tax would give ample money because there would be no loopholes.
I for one would probably pay more in because the way I'm set up I get exemptions. But I'd be happy to pay that way because I would no longer have to file income tax stuff, pay an accountant, etc, etc. Even if it cost me $2000 more per year, I'd be relieved, partly because I would know that Richie Rich would be paying the same percent as I. Because he earns more and spends more, he would also pay more. Unless he was a miser and didn't spend. But at least then he could have a choice on how much he spends.

Devlin · Post by **Devlin** » 11-11-06, 4:41 pm

But we all pay 30-35%% whether you make 100,000 or 20,000. That is what is so great about captialism. It rewards those who choose to work harder in life to make that much and not settle on the lessor things in life. Not the druggie who will end up losing their fortune and land in prison, but the honest person who has earned his dollar honestly.

Would you not agree that wholesellers not paying taxes is another example of big business?

^_^ · Post by **^_^** » 11-11-06, 4:53 pm

but wholesalers are selling to resellers, I'm speaking of a retail tax. all taxing the wholesale to retail merchants would do is raise prices and taxes.

The business owners and workers in the wholesale markets would make money, and spend it at retail level, thus they would not avoid paying taxes.
It's not about what a business produces in volume that wold matter, it is what the individual earns and spends that enters into the taxation scheme.
That's the simplicity of it all.
And if you think all people pay 30-35% income tax, you need a reality check. First, you need to know there are loopholes in the income tax system. I'm a small business owner, and I take full advantage of the loopholes available to me. Also, there is such a thing as tax brackets. The more you make, the more you pay. Except in the higher tax brackets, there are bigger loopholes. And the highly paid smart people know how to use them. I've heard of people making a million a year, but paying no more in taxes than someone making $300,000 a year. So they make triple the net income, yet pay no more than the poorer man.

Now, set it up with a retail sales tax basis, the rich man who spends would pay more than the guy who earns and spends less. Unless of course, he hoarded his money instead of doing the usual earn/spend cycle.
And I believe it to be fair for the way we are set up. The government as we have it is both a social and infrastructure govenment. Individuals use the services, individuals get the benefits of this. Obviously businesses benefit as well, but business pay employees, and the owner profits, so it does generate tax money. But can you imagine the paper savings if a wholesale business didn't have to keep income tax records for it'self and it's employees? They coulld eliminate half the office staff. Maybe then we could start competing with third world countries.

Devlin · Post by **Devlin** » 11-11-06, 5:28 pm

^_^ wrote:but wholesalers are selling to resellers, I'm speaking of a retail tax. all taxing the wholesale to retail merchants would do is raise prices and taxes.

The business owners and workers in the wholesale markets would make money, and spend it at retail level, thus they would not avoid paying taxes.
It's not about what a business produces in volume that wold matter, it is what the individual earns and spends that enters into the taxation scheme.
That's the simplicity of it all.
And if you think all people pay 30-35% income tax, you need a reality check. First, you need to know there are loopholes in the income tax system. I'm a small business owner, and I take full advantage of the loopholes available to me. Also, there is such a thing as tax brackets. The more you make, the more you pay. Except in the higher tax brackets, there are bigger loopholes. And the highly paid smart people know how to use them. I've heard of people making a million a year, but paying no more in taxes than someone making $300,000 a year. So they make triple the net income, yet pay no more than the poorer man.

Now, set it up with a retail sales tax basis, the rich man who spends would pay more than the guy who earns and spends less. Unless of course, he hoarded his money instead of doing the usual earn/spend cycle.
And I believe it to be fair for the way we are set up. The government as we have it is both a social and infrastructure govenment. Individuals use the services, individuals get the benefits of this. Obviously businesses benefit as well, but business pay employees, and the owner profits, so it does generate tax money. But can you imagine the paper savings if a wholesale business didn't have to keep income tax records for it'self and it's employees? They coulld eliminate half the office staff. Maybe then we could start competing with third world countries.

There are laws against price gouging. The retailers can't raise taxes based on government allowances..You being a business owner, you should know that.

Yes I know there are tax brackets..I know the taxes are based on gross income, however, those who use those loopholes find that they pay more penalties at the end of the year either responsibly or through tax audits.

Whether they are caught using or abusing the loopholes or not, sooner or later they pay what they were intended to pay to begin with.

Not Don · Post by **Not Don** » 11-11-06, 7:55 pm

I absolutely agree with you both. Politics is a macrotool created by man to organise itself for the collective survival of the group and would work if the democrats and the republicans could get together on article 69.

Devlin · Post by **Devlin** » 11-11-06, 8:34 pm

Seeing how there are several articles that fall under article 69, up to and including case law which one are you referring?

Or are you talking about the sexual position?

^_^ · Post by **^_^** » 11-11-06, 9:51 pm

roflmao
maybe both?