Deducting taxes from wages is one thing. giving the impression that the government is taxing itself for sales and services as if it has money to pay itself is quite another.
BTW, the sales tax on "any government" payroll is ON the payroll, not deducted from it....BIG HUGE DIFFERENCE.
giving the impression that the government is taxing itself for sales and services as if it has money to pay itself is quite another.
As if it has money to pay itself, LOL. Of course it has money to pay itself it gets it from you in the first place.
When govenment purchases anything from private enterprise it pays the full cost of employee gross wages, employer payroll excises and any property, and other kinds of taxes embedded into the price of the product by virtue of financing all such elements from gross sales receipts.
That is a fundmental fact that cannot be avoided by the very nature of taxation. All a Retail Sales Tax does different is create a receipt detailing the tax burden separating it from the natural(i.e. taxfree) price of a product.
Everyone. government entities too, pays federal taxes through the corporate income/payroll tax VAT system.
DO YOU PAY YOUR INCOME TAX
AT THE SUPERMARKET?
by D. Sherman Cox J.D. L.L.M. Taxation