I wouldn't mind the state getting 10% too. It could piggy back on the fed sales tax. Giving the state 10% would put it on an equal footing with the feds. That was the intention of the Founders. The states will need to take care of the tasks the overfunded feds have unconstitutionally usurped.
I would even be willing to give the county 10% if they would give up all other taxes.
Imagine no more excise taxes or property taxes. Only a sales tax at the register.
I wouldn't give one red cent to the cities. I don't like cities in their current form. I believe they are a cancer on the American way of life. They breed almost all the things I dislike about this country. Welfare. HUD. Crime. Congestion. Smog. Etc. Etc. Etc. Many of societies ills. I know we would still have all of these without cities but they wouldn't be nearly as bad. Just take away the tax ower of cities and they will die. Counties will take their place.
Anyway. That's my vision. A place where the only tax is a sales tax: 10 for the feds, 10 for the state, 10 for the county and an import tax. That's all folks.
Here's an excerpt from a proposed national sales tax legislation...(FairTax Hr2525).
SEC. 302. ADMINISTRATION OF OTHER FEDERAL TAXES.Then there's this excerpt from an econmists testimony who favors a sales tax.(a) IN GENERAL- Section 7801 (relating to the authority of the Department of the Treasury) is amended by adding at the end the following:
`(d) EXCISE TAX BUREAU- There shall be in the Department of the Treasury an Excise Tax Bureau to administer those excise taxes not administered by the Bureau of Alcohol, Tobacco and Firearms.
`(e) SALES TAX BUREAU- There shall be in the Department of the Treasury a Sales Tax Bureau to administer the national sales tax in those States where it is required pursuant to section 404, and to discharge other Federal duties and powers relating to the national sales tax (including those required by sections 402, 403, and 405). The Office of Revenue Allocation shall be within the Sales Tax Bureau.'.
Tax RatesBe careful what you wish for.Simulation analysis and a variety of empirical calculations suggest that the retail sales tax rate needed for revenue neutrality under the Fair Tax, assuming no decline in the real value of government purchases, would be roughly 30 percent when measured on a tax-inclusive basis. This tax rate could be expected to decline by 3 or so percentage points over time as the economy expands. Moreover, if the Fair Tax were structured to include the consumption of existing housing services in its tax base, the initial Fair Tax rate would probably be about 3 percentage points lower. This could be accomplished by assessing the tax on the imputed rent on housing, where the calculation of imputed rent is based on a fair market valuation of housing real estate. This valuation could be done by local municipalities in the course of appraising houses for local property taxes.
A tax-inclusive consumption tax rate of 30 percent translates into a tax-exclusive consumption tax rate of 43 percent. While the 43 percent rate sounds very high, proper comparison of the Fair Tax tax rate with the current payroll and income tax rates requires evaluating the consumption tax rate on a tax-inclusive basis. Even a 30 percent tax rate may sound like a high rate. But one needs to bear in mind that middle and upper income households in America are typically in combined income tax and payroll tax marginal tax brackets of 40 percent or more and that low income Americans are typically in even higher tax brackets once one considers the phase out of the earned income tax credit. Hence, given the state of U.S. marginal taxation, 30 percent is a low number.
That would be good, but that's not what would happen with the Fairtax (HR2525).
What kind of receipt would that huge NEW tax show up on..`(2) CERTAIN WAGES OR SALARY- In the case of wages or salary paid by a taxable employer which are taxable services, the employer shall remit the tax imposed by section 101.
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(12) TAXABLE EMPLOYER-
`(A) IN GENERAL- The term `taxable employer' includes--
`(i) any household employing domestic servants, and
`(ii) any government except for government enterprises (as defined in section 704).
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`(17) WAGES AND SALARY- The terms `wage' and `salary' mean all compensation paid for employment service including cash compensation, employee benefits, disability insurance, or wage replacement insurance payments, unemployment compensation insurance, workers' compensation insurance, and the fair market value of any other consideration paid by an employer to an employee in consideration for employment services rendered.
The sales tax shills claim government employee's are already taxed so the sales tax is a no brainer...what they fail to disclose is government employees pay taxes out of their pay...the sales tax ON wages, benefits, etc. is a NEW tax IN ADDITION to/ON their pay which amounts to an increase in the cost of government with a first year 30% increase in "any government" (city,county, state federal) payroll...Not to mention the sales tax on government purchases.
Any clues where the money for those hidden taxes would come from?