Posted on 08/26/2004 11:05:33 PM PDT by n-tres-ted
I agree if the rate is ~ 10%. At 30-40%, it's an economy killer.
The psychological effect would be worth any inconvenience.
Here, I disagree. The people who pay attention already know what they pay in taxes, the rest are sheep who will follow the herd mentality over a cliff.
That's the ignorant statement of someone without experience with either.
"There is already a movement afoot to standardize state and local sales taxes; the FairTax can realistically be expected to accelerate that trend."
If I understand this correctly, I must say that I am 100% opposed to this standardization. I would prefer that the states run their own business and allow me to chose which state is more deserving of my residence. That is one major improvement that can come about as a result of the NRST, increased competition for corporations and residents among the states. If your saying that the NRST could be a tool to standardize the state's tax policies, then I have to disagree with that aspect of the NRST.
I personally like some government services, but the problem is not that they are provided by the government; the problem is lack of choice on our part.
How?
All business'do that now.
What is he talking about?
And the herd continues to grow. Once the entire population is bearing the cost, that herd growth will be eliminated.
Since the return is minimized as well as the risk, would not the increased risk be justified by an increased return?Not necessarily. Businesses don't always go for the riskiest investment now, even though it may potentially have greater rewards. What may be within a business's desired risk level now, may be out of it with the increase risk due to removing the write-off.
"Apples to oranges. Sales tax audits are trivial compared to income tax audits."
"That's the ignorant statement of someone without experience with either."
Another of your unfounded assertions LewisLynn/balrog666/YourNightmare. As discussed on previous threads, I have 20 years of financial management experience with technology companies. I have been through sales tax audits in which the auditor (just one!)came in at 9:30 and was gone by lunchtime. I have also been through income tax audits in which 2 auditors spent the better part of 2 weeks holed up in our conference room demanding report after report and document after document.
The income tax audit was a MAJOR disruption; the sales tax audit was barely a minor inconvenience. Anyone who has been through both will readily agree with my statement.
Today, a CD costs $11-17. Fifteen years ago, when I got my first CD player, a CD cost $11-17. Are you suggesting the cost to produce one CD is the same as it was 15 years ago?
Even though the base, rate and other characteristics of the Fair Tax are significantly different from the Texas sales tax, it would be feasible for our office to collect the Fair Tax by expanding and enhancing the systems we currently have in place. For example, we would:
Expand our current system for registering Texas retailers to include registration of sellers under the Fair Tax (615,000 businesses are currently registered as sellers in Texas; under the Fair Tax, 1.5 million Texas businesses would have to be registered);
--Billy Hamilton, Deputy Comptroller, State of Texas
source
"If I understand this correctly, I must say that I am 100% opposed to this standardization. I would prefer that the states run their own business and allow me to chose which state is more deserving of my residence."
You really make your residence decision on whether or not a certain state exempts certain types of products from its sales tax? If so, that is very unusual. States would still have the flexibility to set rates as they desire. They can even refuse to standardize as they see fit. However, it is to everyone's benefit that the myriad of differing sales tax rules by simplified.
However, like in most areas, the FairTax does not require standardization, just encourages it.
I have been through both and my experience was the exact opposite of yours.
The sales tax audit was a MAJOR disruption; the income tax audit was barely a minor inconvenience. Anyone who has been through both will readily agree with my statement.
Maybe such general statements are just bullsh!t to begin with.
LewisLynn/balrog666/YourNightmareYou just embarrass yourself and weaken your argument by continuing to claim we are the same person.
"Expand our current system for registering Texas retailers to include registration of sellers under the Fair Tax (615,000 businesses are currently registered as sellers in Texas; under the Fair Tax, 1.5 million Texas businesses would have to be registered)"
The tax base of the FairTax is broader than that of many state sales taxes. If it were narrower, the revenue neutral rate would have to be higher. Then you would criticize the rate, wouldn't you YN? Even more than you already do, I mean. LOL
"You just embarrass yourself and weaken your argument by continuing to claim we are the same person."
You just embarass yourself and weaken your argument by denying the obvious.
Your points are taken and I will read about this issue more.
When I said federal, vs. national, I didn’t just mean the IRS. I agree the IRS is a major burden. I mean Government and Politicians. I don't trust those Politicians, do you? I'm not convinced that 23% wouldn't be the end. They will find a way. It's the nature of that beast.
There are a lot of people on this thread making claims it will work but I'm skeptical. It seems like a gamble. I don't like to gamble with my home and family income. I agree that a change is needed but I don't know if this is the answer.
Taxes are to damn high. Although, I don't mind paying for our Military, at all.
And what is the obvious?
The ones in retail do.
When I had two pet shops, Texas decided dog haircuts had to be taxed.
When I said federal, vs. national, I didn’t just mean the IRS. I agree the IRS is a major burden. I mean Government and Politicians. I don't trust those Politicians, do you? I'm not convinced that 23% would be the end. They will find a way to increase it. It's the nature of that beast
.
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