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To: littlelilac

All good ideas - the principal problem here in America is that we have uncontrolled spending at the federal level. Neither the administration nor the Congress have any interest in restraining spending. We also have a very regressive income tax structure in which the most productive are the most taxed, and the least taxed are approaching 50% of the voting population. When we reach the tipping point (over 50% of voters being net recipients of income from the federal government) all hell will break loose. Thus the idea that all voters (minus those below some predetermined poverty level - and that in itself causes problems) should feel the pain of unrestrained federal spending.

Thanks for weighing in from Canada, I love it up there.


146 posted on 11/03/2004 12:49:47 PM PST by tgusa (USN A-6 pilot)
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To: tgusa

thanks and Zon is very wise, he knows his stuff, he is right,

for the most part the Goods and Services Tax replaces the Federal Excise Tax which was hidden, and 13.5%

but what our federal government did is also in effect introduce a new tax which is on "services" that is why the tax is a cash cow for the goverment

for example you pay GST when you go to the barber, you hire a painter, etc....

of course there was/is? a booming underground economy esp in the renovation business for people trying to avoid the GST but most bona fide construction companies want the GST credit so they prefer to do it on the up and up and now we have to report all our purchases from subtrades to the government so if someone is collecting GST and not remitting it (as many subtrades did and do, nice cash flow) they will are more likely to get caught......


152 posted on 11/03/2004 12:56:00 PM PST by littlelilac
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