First… I am politically on the fence. I see the good in both sides and when it comes time to “officially pick one”, I choose based on candidate and issues… Party lines are nothing more than a political bandwagon system and it’s a junk way to function since I am certain that neither party is right or perfect all the time. I promise.
My point today is this… Drug dealers buy Slurpee’s too.
Everyone buys stuff. Houses, cars, clothes, food, electronics, whatever… So what if all income taxes were stricken from the law and instead, a larger sales tax system were built in it’s place? Granted, the rate would be much higher than the rate we pay today, but it would equalize the tax system. When a drug dealer, whose earnings would be classified as “under the table”, went into a 7-11 for a Slurpee, he would be paying his taxes when paying for his Slurpee.
In general, Democrats have always been for government regulation and Republicans have been against it. From what reading I have done on this topic, this is a Republican backed idea, yet I believe that it could be a very satisfying solution for both sides. Maybe a consumption based tax isn’t flat. Maybe it’s built on a scale and taxes are higher for luxury items and lower for necessities. Going beyond a flat consumption tax could be dangerous because all of the “interest groups” would get into the business of helping to get Twinkies added to the “healthy food” list so it’s taxed less, it sounds stupid, but it would happen. So there would have to be safeguards in place for shenanigans, as usual. But it could be functional and agreeable for both Democrats and Republicans. Whatever it might look like, I think it could be good for everyone. We would be harnessing our American Consumer Culture and using it as a base for our contributions to our country.
A Consumption Tax would, at the very least, even things out a bit. And if the top 2% are still end up paying 50% of the taxes in this country… then they spend too much money.