I can’t think of a reason this wouldn’t be popular, it’s perfectly proportional and incentivizes saving and investing over spending
1 Like
See you say a VAT taxation is complicated. Yet almost all if not the entirety of Europe uses a VAT system for taxation and they have no issues. As long as it’s clearly defined I see no issue with a VAT system
Also a sales tax would fairly tax individuals from other countries while visiting.
Well call me crazy here but IMO should be no taxes at all. Not even VAT. Of course SS is a different story.
Ok taxes are used by govs ( talking worldwide here) to do what? Pay for roads
(by the way, 24 years I lived here and my road still gravel but the locals spend over $60,000.00 to have a building where they can just store some files and stuff money not well spent- I guess they just wanted to feel important)
and schools and so on, also we pay their salaries (by the way some are waaayyy exaggerated salaries for what their job is) so all can be easily replaced by an “invoicing” system where agencies know what the expenses are for all of it and cost of infrastructure maintenance and new projects then just calculate what each and every one would get charged for and send an invoice detailing what’s what so we can review it and pay it. I bet there would be no outrageous spending there.
At present because of the system we now have there is always a surplus of money going in that like any other human, the more you get the more you spend… Anyway this may not make any sense but I think it can be done
All taxes should be apparent to the consumer who ultimately pays the tax. Corporate taxes and the costs of their preparation are hidden taxes. Include those on business that are not incorporated as well. Politicians are adept at raising taxes on business in order to hide taxation from the general population. Wealth taxes, high income taxes etc have been tried in many nations and they all have failed to bring in projected revenue. Nobody wants to pay taxes and they find ways to work around them or at least reduce them. Some move to where money is treated better, then there are all kinds of loses not projected in the spreadsheet. The best evidence of this type is the migration from high tax states to low tax states. It is just human nature.
I spent a few years in a VAT country. Everyone had to keep all receipts all year. As an employee benefit the company accounting staff compiled the VAT paid out by each individual. That amount was needed to calculate the refund they got based on their income. It was a really time consuming ordeal each year. Maybe its different in other countries, but that’s the way it worked in Turkey.