[Your Nightmare]

The basic reason for the tax on government consumption is that the government does not relieve its contractors and their employees from the reqirement to pay income and payroll taxes today nor provide credits to business for the taxes embedded into consumption price. Thus the government is required to pay the NRST which replaces those taxes paid via government consumption purchases and hiring practices.

The basic reason for the tax on government consumption is that you can make the rate seem lower than it is (kinda like using the inclusive rate). You also need to read up on your constitutional law in regards to income/payroll taxes and government contractors.

[ancient_geezer]

The basic reason for the tax on government consumption is that you can make the rate seem lower than it is

Ok, lets do away with the provision, we won't tax government consumption and decrease revenue by that amount, as government obviously doesn't need it to pay for anything except itself. That is all it is doing when it requires its contractors and suppliers to pay taxes in proxy.

 

You also need to read up on your constitutional law in regards to income/payroll taxes and government contractors.

Hmmm. Which Constitutional provision requires Congress to impose a tax on government contractors?

Or rather is it Congress can not impose a tax on government contractors?

Please do tell us which of the above that Congress is held to in the Constitution?

[lewislynn]

The basic reason for the tax on government consumption is that you can make the rate seem lower than it is (kinda like using the inclusive rate).

Sounds like their rebate scam.

A rebate so no one would be taxed on their necessities...

If that's what they call a good idea, I have a better idea. Increase the amount of the rebate so we wouldn't have to be taxed for anything....Or, if taxing government purchases is such a good idea for everyone, why not tax only government purchases?