[Principled]

But under the current system, the John and the drug buyer paid income tax on the money they are giving to the prositute and drug dealer. They wouldn't under a NRST.

That's because the nrst doesn't tax any income.

One's entire tax burden is paid thru purchases at retail.

[Your Nightmare]

That's because the nrst doesn't tax any income.

One's entire tax burden is paid thru purchases at retail.

Let me show you an example:

Current System - 20% Income Tax, 0% NRST

John makes $125, pays $25 in income taxes, and spends $100 on a prostitute. The prostitute pays no income tax or NRST on that $100.

Total revenue for the government = $25

NRST - 0% Income Tax, 20% inclusive NRST

John makes $125, pay no income tax, and spends $125 (prices go up for everyone) on a prostitute. The prostitute pays no income tax but pays $25 NRST when she spends the $125.

Total revenue for the government = $25

It's a wash.