Because a 30% gross tax is far and above all the savings eliminating other taxes offers me. I would be lucky to save 1%. No kidding, all these reductions you talk about is less than 1% of my gross. Would you like to talk to all my employees and tell them I need to cut their wages by 30%? Then I have to convince all my suppliers to do the same. It just ain't happening. New Home prices will go up substaintially.
Is your position that your sales will decrease? Why?
Absolutely. People will be priced out of new homes and existing homes will be a much better value. The NRST will be a very painful transformation for the housing industry.
"Because a 30% gross tax is far and above all the savings eliminating other taxes offers me."
I still don't see how your costs will increase. You have already acknowledged that your purchases for business will be exempt from the sales tax, therefore your cost will not go up.
"Absolutely. People will be priced out of new homes and existing homes will be a much better value. The NRST will be a very painful transformation for the housing industry."
Yes, the end price of the house may increase, therefore making the home buyer consider the sales tax as part of their purchase decision. This does not affect your cost of doing business, but it may affect your sales. However, keep in mind that home buyer should see their net income increase, therefore their buying power remains about the same as it was prior to the sales tax being added to the price.
In addition, I have seen many explanations on these threads regarding mortgaging the NRST and these explanations really addressed this issue. I'll let some of the other experts address that portion.....