To: PapaNew
About your point 2, the second 9 percent would be on the cost of the goods plus 9 percent. Etc. If the goods pass through four or five stages from raw product to consumer, that is not only 9 percent five times, it is COMPOUND interest. Then the retail buyer gets to pay 9 percent on the whole mess, or 18 percent on the whole mess if he lives in a sales-tax state already.
1,997 posted on
10/18/2011 9:53:08 PM PDT by
firebrand
(Why didn't they impeach him before he started the revolution?)
To: firebrand
Right, except I'm of the understanding that the plan subtracts the purchase price from US companies at each stage of the supply chain, which would have the effect of a one-time-only tax I believe.
The biggest problem with the sales tax is the constitutionally-protected income tax. Until the 16th Amendment is repealed, the sales tax will be and ADDITIONAL TAX not a replacement tax. The 16th Amendment must be first repealed before a sales tax is created.
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