Continued from page 1
This list could go on and on about
advantages of a National Sales Tax. The truth is that our current system of taxation is totally out of control. The 10s of thousands of pages of tax laws have even
best tax minds confused.
Yes, 23% does seem like a lot of sales tax to pay in addition to any state sales tax you might have. You could wind up paying 30% on a car purchase of $20,000. Lets look at some of
possible savings with a sales tax.
Sales tax on car purchase - $6000 Final Cost of Car - $26000 Cost of car might be reduced 20% because
manufacturer doesn't pay any taxes under this plan. What is
cost of
car? $16000 Sales tax on car purchase - $4800 Final cost of Car - $20, 800 But Wait Again! You will be buying this car using your entire paycheck. NO DEDUCTIONS. That's hard to calculate. I can almost guarantee it will be below
initial $20000 price tag. Besides, $20,800 is only 4% above
price of
car, far less than most state's sales tax.
If you don't think companies will reduce their prices even though they aren't paying taxes, just imagine an entire nation knowing they are manufacturing their goods 20% to 30% cheaper and not passing that savings on to them. In addition, sooner or later one of their competitors will reduce their price, and
war is on.
To find out more about
National Sales Tax just visit Americans for Fair Taxation at http://fairtax.org/ Take your time to browse
site. You will find answer to almost every question you might have.
