The VAT Commission

The Wall St Journal | Feb 19, 2010 | editorial

[The Raven]

A 20-30% VAT means my already taxed savings will be taxed again when I use it as well as my retirement money.

Here come the cuts in benefits for most of us and big taxes

[stevie_d_64]

This commission will be convened so that Obama will have someone to blame for when he will have to raise exhorbant taxes on the rest of the 95% of us...

Plain and simple...

And we will be surpised, why???

[RSmithOpt]

Still no reduction in the size and scope of goobermint.......geeze, first part to getting one's financial house in order is to reduce overhead (expenses).....hmmmmm.

Reckon' the rule do not apply to them.

[riri]

We CAN NOT allow a VAT. It can not happen. Our standard of living will go into the toilet. We will pay 2, 3 or 4 times as much for everything. Everything. And unlike the Euros, who at least, get months of vacation, we’ll have nothing to show for it. Nothing.

[Einherjar]

“Gee,let me make this perfectly clear, what I really wanted was to add no new taxes, not one single dime..........but the Bipartisan National Commission on Fiscal Responsibility and Reform says we have to take more money out of you pocket, carry it off to Washington, and then offer it back to you with a whole bunch of strings attached “

[HiTech RedNeck]

By golly Miss Molly they’re gonna tax something.

Even if it only gets them tarred and feathered and run out of town on a rail.

[Principled]

We cannot survive without boosting GDP. It all flows from that.

A combination of gains in GDP and reduced spending must take place. Period.

Just how to do that is the only question. A VAT won’t grow GDP - to the contrary it will shrink it and hence reduce tax revenues. Further, it is likely to be in addition to our income tax which is like really the worst for GDP.

A flat income tax would help as long as the rate is sufficiently low to promote growth and attract investment. 19-20%. But it would have to be in place of our current income tax code and the current flat tax proposals don’t do that - they retain withholding of taxes and they retain FICA taxes [current proposals are 15.3 FICA plus 17% income taxes.]

An NRST would help as long as the rate is sufficiently low to promote growth and attract investment. 20% or so. IF an nrst completely replaced our income tax code, it would mean a ginormous GDP gain.

... just sayin’...

[oldmomster]

“Democrats agree to cut Medicare and Social Security benefits for future retirees who make more than median incomes”

so, now that we have contributed to these programs all our lives, instead of cutting ‘welfare’, medicaid funding of illegals and others who wont work, this is where they want to slash spending? Wonder when AARP will speak out against this?

[The Raven]

Now that cap-and-trade and health care reform lie in ruins, Obabam will get what he really wants: taxes!!!

[Loud Mime]

So, Obama is using Orwellian titles.....wake up America.

I fear a reverse government stimulus program, where they tax EVERYTHING after taxing it under another excuse.

[Soul of the South]

Perfect issue for Republicans if they will take it up. The message everyday should be the President is abdicating his job. He’s already presented his budget. If it needs to be reduced or changed it is his responsibility He should determine the priorities, it is what he was elected for. It is unfortunate for the American people he isn’t able to do the job the American people elected him for.

Beat the drum everyday. President not doing his job. Not tough enough to make the choices. Point to Christie in NJ as being able to make the tough choices.

[stevie_d_64]

Even though the drum will be beat on this issue, it will just be another political campaign lie...

The MSM will laugh it off, because we are all suckers...If it is even covered at all...

I seriously doubt the MSM will tie the two issues together, that he promised no taxes on 95% of us, and the fact that taxes will be raised for all of us even on the same day, much less putting the two together in the same segment...

FauxNews will probably put it together, but that will only reinforce what we already know anyway...

The stupid people suckered into voting for Obama will not get the complete picture, nor will they be able to figure it out on their own, so this is really a dead issue before it even gets off the ground for them...

So if the “independents”, yeah those undecided until the last minute shlups get their thinking caps on, if they can keep up with us, we may do ok in these mid-terms in November and that will carry itself into 2012...

Ohhhh, BTW, I got FauxNews on in the other room and they are just now talking about this...

So it begins...

[Mouton]

There are a few unpopular methods to reduce the deficit, over time. They begin with freezing all government spending, period. To that end, remove COLA’s from every form of federal program and contract that allows for them except for adjustments to the federal income tax brackets. Freeze the Federal Payroll, no more employees. Phase in additional age requirements for Social Security and Medicare after abolishing the early retirement option bringing the eligibility requirment in line with life expectancy say 70 for both (leave disability alone). Get rid of the earned income credit (welfare is the province of state and local governments, not the feds). Phase out farm subsidies. Get back to the enumerated responsibilities of the Congress as laid out in the Constitution.

IMO, these would be a good start.

[jedi150]

Here where I live there is nearly no income tax but a VAT is in place at 7 percent if I remember right. Nowwwwww IF they would create a VAT Tax and at the same stroke of the pen eleminate the IRS enslavement on income taxes I would have to think long and hard about not supporting one.

[dljordan]

“so, now that we have contributed to these programs all our lives, instead of cutting ‘welfare’, medicaid funding of illegals and others who wont work, this is where they want to slash spending? Wonder when AARP will speak out against this?”

You’re probably one of those nasty ‘Boomers’ who is responsible for all the bad things that are happening to America so you deserve anything that happens to you. :)

[GBA]

The VAT is a politician's wet dream.

With a VAT, politicians can raise the tax on a whim and when the cost of goods and services go up as a result, stupid voters blame the "greedy" business people for high prices instead of the politicians for the high taxes.

Anything that is good for a politician is bad for the nation and should be avoided. We know how to solve our money problems and a VAT isn't one of the solutions.

[Extremely Extreme Extremist]

We have GOT to win back the House and Senate and at least slow down Obama’s agenda.

[mo]

This is punitive...either the American People WILL accept a “healthcare” (tax) bill, a “Cap and Fraud” (tax) bill or a VAT...where do these clowns get off?!!!

STOP SPENDING!! Two words.short. and sweet.

[walford]

I am in favor of some kind of consumption tax — preferably a national sales tax that people can see rather than a hidden VAT.

But there should be absolutely no consumption tax until the all taxes on income, savings and investment are eliminated.

The Democrats have the presidency and strong majorities in the House and Senate. They can increase taxes if they want to, but are well-aware that their expected losses in November will increase substantially if they vote to gouge us even further.

This commission provides political cover so they can add consumption taxes while at the same time continuing to penalize income, savings and investment.

[oldmomster]

guess I will just have to find a little more energy to march my way to Washington this summer and knock on doors this fall to make sure the great impersonator is rendered impotent in November.

us ‘boomers’ don’t go quietly into the night :)