The "tax cost as % of sell price" in my example actually includes the cascaded amounts ...Really? a moment ago (in Post #524) you said:
You've completely missed the point that the "hidden taxes" are not taxes at all, but artificially-increased prices caused solely by the business income tax and compliance costs.In your example the "tax cost as % of sell price" is EXACTLY equal to the amount of ACTUAL TAX PAID. Where is the "cascaded amount?"The "hidden taxes" themselves (since they are not taxes but unproductive price increases) do not need to be replaced by a revenue neutral FairTax.
So which is it? do the ACTUAL taxes paid include "cascaded amounts" or do they not? The only way BOTH are true is if the "cascaded amounts" equals ZERO!
It's neither or both, Dimp-Dimp. It is as I showed in my example. The taxes cascade in the next level and are at that point merely increased costs of things due solely to taxes from the prior level. Once the business pays income tax on his profits (if he does) the income taxes accumulate and include the cascaded amounts. If there is no income tax paid, there is no reduction of the input cost which has been artificially raised solely due to taxes which means that prices remain artificially elevated due to the cascading.
Also keep in mind that I have never attempted to include compliance costs into the example. That doesn't mean there are none. It also does not mean that taxing all businesses at the same rate even when losing money is realistic - another problem your boy Nightie has with his example.
Go harrangue him with your nonsense. His example after all is "real world" (he says) yet you seem unable to view it critically at all. Does that mean you think it's correct?
I realize that you'll never understand the mechanism involved though lord knows you've had ample opportunities to do so. I see no reason to waste more time on you. You just keep stumbling along trying to dredge up any old thing to attack.
You've already admitted being a die-hard supporter of Status Quo so everything you come up with has to be viewed through that distorted prism.