[woodbeez]

Why attempt to mislead people on something as simple as the rate people will pay?

If you have a 23% income tax on a $100,000 income, you pay $23,000 in tax and you get $77,000. Turn that around: if you purchased a $77,000 item and paid $100,000 for it including the tax you would pay $23,000 (29.XX%) in tax and $77,000 for the item. The percentage is compared to current income tax.

[Your Nightmare]

If you have a 23% income tax on a $100,000 income, you pay $23,000 in tax and you get $77,000. Turn that around: if you purchased a $77,000 item and paid $100,000 for it including the tax you would pay $23,000 (29.XX%) in tax and $77,000 for the item. The percentage is compared to current income tax.

No, if you have a 23% income tax you pay $29,870 tax on $100,000.


Oh, wait. Was that 23% the inclusive rate? Now how were we suppose to know that? Were we just suppose to assume that the 23% was expressed the same way every other income tax is expressed? Why would we do that?