Tilted Forum Project Discussion Community - View Single Post - Our Current Tax System

alansmithee · 11-21-2004, 11:26 PM

I hate the common man as much as the typical Bush supporter, but even I think a consumption based tax system is a little to much

. Seriously, it's highly regressive as the higher your income, the lesser percent of your income you actually spend, as the poster above pointed out. I might check out the fairtax site, but I have yet to see an economically feasible consumption-based system.

edit- I read over the site, and checked out the FAQ, and from what I could tell, it is still very regressive. They haven't adressed the fact that somebody making $500,000 per year could easily pay the same in taxes as somebody making $100,000. Also, people might not bother doing grocery shopping in foreign countries, but I could easily see the very luxury goods they describe as being what rises the consumption of weathier people being bought out of the country. And since it seems from their description that they implement the tax at point of sale, it would be hard to keep track of such purchases. For instance, I live in MIchigan, if I'm buying a new car, I have no reason not to buy it in Canada, where it would be substantially cheaper. Same if I were to purchase the jewelry or filet mingnon they mention on the site. Honestly, the tax code might need some work, but I don't see this being the way.

11-21-2004, 11:26 PM	#6 (permalink)
alansmithee Junkie	I hate the common man as much as the typical Bush supporter, but even I think a consumption based tax system is a little to much . Seriously, it's highly regressive as the higher your income, the lesser percent of your income you actually spend, as the poster above pointed out. I might check out the fairtax site, but I have yet to see an economically feasible consumption-based system. edit- I read over the site, and checked out the FAQ, and from what I could tell, it is still very regressive. They haven't adressed the fact that somebody making $500,000 per year could easily pay the same in taxes as somebody making $100,000. Also, people might not bother doing grocery shopping in foreign countries, but I could easily see the very luxury goods they describe as being what rises the consumption of weathier people being bought out of the country. And since it seems from their description that they implement the tax at point of sale, it would be hard to keep track of such purchases. For instance, I live in MIchigan, if I'm buying a new car, I have no reason not to buy it in Canada, where it would be substantially cheaper. Same if I were to purchase the jewelry or filet mingnon they mention on the site. Honestly, the tax code might need some work, but I don't see this being the way. Last edited by alansmithee; 11-21-2004 at 11:48 PM..