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To: Principled
And just like today, when people buy something (a house?), they pay tax at purchase...

What tax do you currently pay on the purchase of a house or real estate. In Texas, there is no such tax.
362 posted on 02/15/2005 9:45:45 AM PST by Iwo Jima
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To: Iwo Jima
What tax do you currently pay on the purchase of a house or real estate. In Texas, there is no such tax.

You pay taxes on the money you used to buy the house (incoem, payroll atxes). The financier pays taxes on their profits, the construction company pays taxes on their profits, even your interest rate is inflated by about 30% because of taxes (check out tax-free vs. taxable bonds to see this in action today).

Just because there's no line-item at closing that says "tax" doesn't mean that theere are no taxes involved...

365 posted on 02/15/2005 9:48:03 AM PST by kevkrom (If people are free to do as they wish, they are almost certain not to do as Utopian planners wish)
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To: Iwo Jima
What tax do you currently pay on the purchase of a house or real estate.

The price of the good includes the costs of light bills, wages, copier leases, and every other cost incurred by the business - including tax costs. These tax costs travel from the beginning of the production chain to the consumer. Those taxes are the taxes paid on goods today. That's also the reason that goods produced under the income tax are already taxed.

372 posted on 02/15/2005 9:54:45 AM PST by Principled
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