[NordP]

I like this idea a lot, too, but I was listening to Walter Williams when he filled in for Rush. This guy called in and said that he owns a business where his clients are big corporations, and they traditionally don't pay their bills until sometimes 60 or 90 days out, and the tax on what they buy would break this guy's account if he had to pay the tax before he got paid for the job.

I hadn't thought of that.

Also Walter Williams said that it wouldn't be 17%...it would be more accurate to guesstimate closer to 30% tax on all you bought.

Since the White House has people reading our Dose thread, I figured they might look at what people were saying on this thread, too. FReepers are very smart people, you know ;-)

I'm just so glad that this President actually WORKS while in the Oval Office, and actually CARES about the people of this great nation! Way to go W!!!!

What do you all think about those to issues?

[NordP]

to = two

[Bigun]

This guy called in and said that he owns a business where his clients are big corporations, and they traditionally don't pay their bills until sometimes 60 or 90 days out, and the tax on what they buy would break this guy's account if he had to pay the tax before he got paid for the job.

Methinks he doesn't understand the way this would work!

There would be no tax on items sold for re-sale. Items or services taxed ONLY one time, at the point of RETAIL sale!

[Principled]

>..they traditionally don't pay their bills until sometimes 60 or 90 days out, and the tax on what they buy would break this guy's account if he had to pay the tax before he got paid for the job.

Of course you pay the tax after you've been paid. Surely the guy knew this.

...Williams said that it wouldn't be 17%...it would be more accurate to guesstimate closer to 30% tax on all you bought.

He's right. We currently pay taxes that amount to about 23 cents of each dollar we spend (although it's hidden and most folks don't know we pay it). 23 cents on tax leaves 77 cents to spend on goods/services - that's a 30% clip (23/77)

Some folks see this as 23%.

Irrespective of the method used to calculate the percentage, it's the same dollar amount we're already spending on taxes.

This is the reason prices won't rise under an nrst.