Hubby shuddered when he read about the VAT tax in Cruz’ plan. He said....NO!!! We can’t let that camel’s nose in the tent, too!
He’s right. Congress always says it won’t be but a 2% - 3% tax, to START. It ALWAYS goes up....once they have the avenue to get that extra $$ from our wallets. Look at Europe. VAT tax there is just insane. (It started out *minuscule*, too.)
That is a valid criticism of Sen. Cruz’ tax plan. It is the one I just made.
But keep in mind, he is proposing a net receipts tax, which is not quite a VAT, but it’s similar. I don’t like it. In a VAT, the state looks at the value added by a business, and taxes it. Sen. Cruz takes gross reciepts and taxes the cost of products sold from that and taxes that. Not quite a VAT, but maybe kissing-cousins?
I guess if Cruz allows enough business deductions prior to the tax, it might operate more like a corporate income tax. And we already have one.
But then, much of the revenue raising is lost, and much of the simplification of the code is lost. These are the dilemmas that need to be discuseed.
What I would like to do is find a way to ask candidates these questions without them attacking us as if they are offended by the questions. trump is the worst of these on this account.
And I would like it if posters could offer these criticisms and not be called names.