But,guess what, if Joe's car needs repair unexpectedly he can defer paying taxes for a month or more. He can buy used and he will be getting his pre-bate for necessities.Buy used what? Used car repair service? Used car parts?
C'mon. Joe has to buy a new carburetor doesn't he? He has an unexpected expense this month that takes 300 bucks out of his monthly budget. Does he have the opportunity to call the IRS and ask for a tax holiday? No.
What if we adopted the NRST? What if he was looking at a new driver for his golf bag? 300 bucks plus sales tax: 390 bucks. Well, he just might go to "Play It Again, Sports" and buy a used driver for 150 bucks. Or he may just wait. He has that option.
I know what you're going to say, what's to keep everyone from buying used all the time? Well they will at first. Pretty soon though we'll run out of used stuff. You and I both know that sooner or later Americans want the newest, best, shiniest they can get.