That would be an upside - but if people continue to buy used items or fix the items they have - how will the government generate revenue? I wonder if they have calculated their expected revenue based on present consumerism - I think this kind of tax will change that a lot.
It sounds great that any of us can pay no taxes if we want to work it that way. I believe so many will do that - they will have to search for other ways to generate revenue.
The bottom line is non productive things like tax accountants and lawyers and IRS and paperwork that produce nothing tangible will be drastically eliminated..the taxes will be much more efficient. Look at how much businesses pay for tax advice and compliance...right now those than can afford the best advice can beat the system thus it is inherently unfair.
The government will always have enough income (one way or the other) but IMO a NRST makes collection of taxes fairer for all and more efficient. Those that have tons of money can spend it and pay more taxes, those that prefer to be frugal and save or buy more durable goods can alter their taxes. It will be an individual choice and not so much a government choice. Politicians will loose power and people will gain power. Social engineering by making some deductions available will be almost non-existent, the people will be able to make their choices not the government...Look athe the tax break given large SUV's for business use, which contradicts fuel econeomy...a failed product of our tax laws. If there was no tax advantage for one vehicle over another, business would go with efficiency (initial cost, fuel & operating costs etc.) making efficient long lasting products more viable.
Look at the administrative nightmare we have to levy and collect taxes, most just thrown away in inefficiency. Imagine a private organization trying to raise money with thousands of pages of regulations compared to saying hey everyone just contributes x percentage of y.
Also, income taxation isn't even where all of the Governments money comes from. Never has been, never will be in a sane world.