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To: Brookhaven

But not if there is a 9% MORE incentive to buy a used car than a new car.

Disparate taxation skews market forces. There is a reason Amazon fights like mad to not have to collect sales taxes — because that 5% or so state sales tax makes a big difference to their sales.


102 posted on 10/11/2011 9:32:05 AM PDT by CharlesWayneCT
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To: CharlesWayneCT
But not if there is a 9% MORE incentive to buy a used car than a new car.

So, under they current system the price of a new car is $20,000.

Under the 9-9-9 plan, the retail price of the same car is $18,000 + 9% sales tax = $19,620.

$19,620 < $20,000

It would cost less to purchase the new car under the 9-9-9 plan.

114 posted on 10/11/2011 10:06:30 AM PDT by Brookhaven (999 Tax Calculator: http://goo.gl/AHsjH)
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