NOTHING!
But, then that is the answer isn't it? Your "cascading" doesn't increase prices any more than the ACTUAL TAX PAID does it? All that spewing you've done about "hidden taxes" that are not actual taxes, but inflate prices more than the actual taxes do is, well, BUNK.
You claim it's there, you just can't figure out how to show anyone how big the effect is ... because the effect is NONEXISTENT.
You want us to consider costs other than the ACTUAL TAX and compliance cost PAID? Then show us that ANY such costs exist! So far, you've not shown a PENNY of cost in ANY example that is not ACTUAL TAX PAID, ACTUAL PROFIT, or ACTUAL BUSINESS COST; not a penny!
If these costs are so egregious, how hard could it be to show how much they are in SOME example?
So far, YOUR example has 33.88% of price as ACTUAL TAX PAID on 98.5% ACTUAL PROFIT and 1.5% ACTUAL COST (where's the "hidden tax" cost?) HINT: there is none.
In Your Nightmare's example we've got 4.76% of price as ACTUAL TAX PAID on 6.4% ACTUAL PROFIT, and 93.6% ACTUAL COST (where's the "hidden tax" cost?) HINT: there is none.
Your claim that taxes do not cause raising of prices is, I say again, more "preposterous nonsense".Again, you can't seem to get it right: I have always maintained that taxes raise prices by NO MORE than the ACTUAL TAX and compliance cost PAID!
You're the one who keeps shopping this fictitious "Prices go up more than the taxes" nonsense thorough the fictitious "cascading" mechanism that "artificially inflates prices" beyond the amount of the actual taxes. PROVE IT. Show us ANY additional cost in ANY example that is not ACTUAL TAX PAID, ACTUAL PROFIT, or ACTUAL BUSINESS COST.
Go ahead. Show us SOMETHING greater than ZERO.
We're all still waiting ...