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To: Terpfen
The 30% number arises when you add in state taxes to the final retail bill

Bzzzzt. Wrong.

The 30% tax on the item is BEFORE the state taxes are added in. The bogus 23% rate is based on a sales tax formula NOT used in any of the states.

A dollar item is taxed 23%. Then the tax is taxed 23%. Then the tax on tax is is taxed 23%. Then the tax on the tax on the tax is taxed 23%. And so on....

55 posted on 04/20/2009 4:51:06 PM PDT by Mojave (Don't blame me. I voted for McClintock.)
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To: Mojave; Terpfen
The 30% number arises when you add in state taxes to the final retail bill
Bzzzzt. Wrong.
The 30% tax on the item is BEFORE the state taxes are added in. The bogus 23% rate is based on a sales tax formula NOT used in any of the states.
A dollar item is taxed 23%. Then the tax is taxed 23%. Then the tax on tax is is taxed 23%. Then the tax on the tax on the tax is taxed 23%. And so on....

Well your correct in noting that the Fair Tax shills use a deceptive and misleading tax forumula that most people are unfamiliar with. But your example is wrong.

The Fair Tax shills use what they call the tax "inclusive" method, meaning:

Just one of the myriad ways "Fair Tax" tries to pull the wool over the Peoples' eyes.

300 posted on 10/06/2009 9:44:08 AM PDT by Willie Green (Go Pat Go!!!)
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