you forgot that if the price of goods goes down then wages will have to go down too
if a person makes $40K and suddenly no taxes are taken out AND the price of goods (before taxes) goes down (your scenario), then there will have to be a HUGE sales tax added to even it all out
Actually, employers would be in a position to be able to afford larger salaries and wages. No more SS and Medicare matching, and no more cost of compliance along with other things.
if a person makes $40K and suddenly no taxes are taken out AND the price of goods (before taxes) goes down (your scenario), then there will have to be a HUGE sales tax added to even it all out
This sentence makes no sense.