Posted on 04/22/2006 5:39:00 AM PDT by Eaglewatcher
That's assuming the item is sold here. But again, I live in FL, funded solely on sales tax. We all knwo what the item costs, and what the taxes are on top of it.
All the FairTax does is take our current tax burden out of the shadows and splatter it all over a sales receipt for everyone to see.
The psychological effects of that are worth it all. We currently have a nation of ignoramuses who think that if they get a refund in May, they're really screwing the IRS! Meanwhile, our entire economy is depressed because of them, and withholding is the novicaine that dopes up the overburdened taxpayer.
Are you so damnably ignorant of how the FairTax would operate that you make such idiotic assumptions?? Guess so - or maybe you're just adamantly opposed to the FairTax no matter what because you like the Status Quo so much.
Many of the things imported will not be taxed at all since they go into items for resale. Of those taxed as standalone things, raising their price will have the effect of reducing their sales unless the maker finds ways to lower his prices to offset some or all of the tax.
You make the ridiculous assumption that all imported things are taxed (they aren't) and that something that might cause a boost in price at first will stay at that level forever (it won't). In fact, there's ample lead time after the FairTax bill passes before it takes effect for foreign manufacturers to make such adjustments.
You may not understand how the market forces operate (obviously you don't) - but they're going to go right on operating that way regardless of your beliefs.
The US goods exported being cheaper may help foreign buyers, but primarily the benefits will redound to the benefit of the US manufacturers and the US economy. Your thinking is really screwed up, robert.
As for US goods prices undercutting that of foreign manufacturers and those countries adding a punitive tariff to gain an advantage, it's clearly safe to say that you know nothing of the WTO agreements (which, BTW, presently keep us from artificially removing our income tax costs from goods while the FairTax structure complies with WTO regs and DOES allow it). It's not so easy any more so that you can add or remove costs (taxes, tariffs) to export items under such an agreement. Just ask the US State department (and/or the Dept. of Commerce) which has been trying to find ways to remove our tax costs from goods presently and isn't allowed to under the WTO agreements which also restrict tariffs.
Again, if they wish to take advantage of the Fair Tax, they can move their operations to the U.S.
Do you understand why many shipping companies run foreign flags on their ships?
http://www.lowtax.net/lowtax/html/offon/greece/gressm.html
It's because of our corporate taxes.
There are many countries with lower taxes on corporations;
http://www.lowtax.net/lowtax/html/offon/offonhom.html
-and that is why they are located there.
Once again, Looey you're missing the discussion (and are wrong to boot).
What was being discussed was the claim by this poster that his company paid no tax when they purchased something from another company today. I was pointing out that his observation was untrue. The argument had nothing to do with the relative amount of the tax costs he's actually paying vs the FairTax - NOTHING!!!
If you can't read and understand (talk about carrying coal to Newcastle ... we actually know you can't from the many posts where you've demonstrated this), then stay out of the discussion.
You're wrong on both counts. The present tax may be "built in" but it is you who pays it.
His competitors will force him to lower his prices since their costs will also drop and they'd no doubt like to carve out a piece of his business for themselves if he doesn't respond. This applies whether its a US or offshore situation.
Absolutely incorrect reasoning, robert.
You can get on our side and help us push. Any other stand makes your prediction all the more likely.
Our history has many examples of things that the grassroots has forced on government. We can do this too.
C'mon over. You'll make lots of great new friends (and a few enemies -- like those who protect the status quo) and you'll be doing a great thing for America and yourself and kids and their kids and . . .
That bridge in Brooklyn . . .
Why don't you take a flying leap from it?
What is your interest in keeping this Marxist tax?
Wow!
Your ignorance -- presuming that you aren't just lying -- is astounding.
Are you being paid to spread this nonsense?
You got nothin'. What a waste of my time.
The government's proposing a $2.8 trillion budget for 2007, and you're trying to figure out a better way to give it to them. Cut spending to 10% of GDP, THEN figure out the best way to give it to Congress.
Is that right? I thought it was the cheap labor cost.
Taxes, huh? Learn something every day.
You're defining the business to business tax as the hidden corporate income tax built into the product I'm buying. Is that your own definition? And I was suppose to know that how?
Whatever. If I pay $100 for the product, how much of that $100 is this hidden "business to business" tax? Just an estimate will be fine so I know what you're talking about.
How much will an imported DVD player cost me under the Fair Tax if it costs $100 today?
Defend any price lower than $130. with a solid economic argument (not "they'll have to find a way to lower the price to be competitive" bull$hit).
But of course. I don't argue that. I never did.
I'm asking just how big a bite that is. Do you know? How much of that $100 item is hidden corporate taxes of the Manufacture, the distributor, and the Marketer?
Is it $10. $25.? $50? Is it maybe $3.? Give me a number. Can you?
Pick what apart? All you do is take cheap shot one liners. I gave you the benefit of the doubt that you were merely ignorant of the FairTax.
No, I don't think that I will.
Tell me how successful you have been in the last 8, 16, 24 or even 40 years in getting spending down?
Do you have any support in Congress for your proposal to cut 90% of spending?
Has anyone introduced your plan? Has the president pledged to sign it if it hits his desk?
Do you have a plan to win over the American people in support of your plan?
Have you convinced all of the special interests groups to forsake their desire for government (taxpayer) largesse?
No, I don't think you do, can, or will. I think that it is more likely that you are protecting the status quo for some narrow self interest and are just hiding behind your '90% spending cut' BS.
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