This already occurs...to the tune of Billions of dollars in lost tax revenue. It's nothing new that people cheat on taxes.
The reasons people cheat:
the tax is unfair
the tax is too difficult to understand
the tax is easy to avoid with minor consequences.
THe nrst:
is perceived as fair
is easy to understand
is difficult to avoid and consequences are harsh.
To avoid the nrst, it requires collusion (two individuals acting together). To avoid the income tax, one need only overstate expenses or understate income- quite easy.
Further, the liklihood of being caught overstating expenses or understating income is very low, and the consequences are low - you pay up and pay a fine.
Under the nrst, if you're caught, you lose your business. How many business owners will risk thier livelihood to save a customer some money on taxes?
BTW you should know that 80% of all retail $ change hands in 20% of retail establishments.
That being said, cheaters will always cheat. But by eliminating the major reasons for cheating, the problem is minimized....which makes the nrst better than the income tax from a compliance standpoint.
imho
Great. Do you think it is a good idea to only be able to buy ammo from Walmart?
That being said, cheaters will always cheat. But by eliminating the major reasons for cheating, the problem is minimized....which makes the nrst better than the income tax from a compliance standpoint.
The flea market I go to has almost every useful item imaginable with no sales tax. Some of it is new and some used. With a 20 or 30% tax for "new" it will all become "barely used". Then the plainclothes feds will come and try to sort out what is new and what is not, or else shut the whole place down (it is huge). I can't see any way that they can stop these merchants.
The way I see it, eventually all purchases will have to be made at government approved stores. Just by sheer coincidence that's also what the gun controllers would like.