A VAT for the USA?

A VAT for the USA?

Postby O. W. Kenobi » May 27, 2009 7:52 pm

http://www.washingtonpost.com/wp-dyn/co ... 09_pf.html

Looks like the US government is finally looking at a value-added tax, similar to the GST in Canada. They're being coy about the idea right now, but it's the most logical solution to their fiscal woes. The size of their deficits, now and in the future, means that they cannot simply grow their way out of this jam. Since they have a federal system like ours, the federal tax would probably be in addition to state and local taxes, like in most places in Canada. Two taxes on the cash register receipts.

Someone once said - Americans will always do the right thing, after they've exhausted every other alternative. That's what's going to happen with this tax.
"Sell low, buy lower."
User avatar
O. W. Kenobi
Supporter
 
Posts: 2408
Joined: Jun 27, 2003 9:20 pm
Location: Ontario

Re: A VAT for the USA?

Postby Americalex » May 28, 2009 1:08 am

In my view, that's rather the "left" thing to do. There was a time when our federal governments did the right thing, oh yes: They financed themselves ENTIRELY from tariffs on trade, and there was no income tax or sales tax!

Socialist taxation means more government growth, more reckless spending and counter-productive corruption. It has a structural effect that ultimately saps the health out of the economy by incrementally demotivating the workforce to be productive, since a bigger and bigger and bigger and bigger and bigger and bigger chunk of their salary ends up in the pockets of those who lend to the feds.

With a deficit of 2 trillion dollars, no amount of flat tax on purchases will balance the budget back. The solution is not to increase the tax burden: it is to savagely diminish the size and scope of government interference in the affairs of North Americans.

The objective should be for government to live within it's means, with it's means being defined by it's revenues from tariffs on international trade as was customary in the capitalist system before the great socialist swindle. Any government must be treated as a bad credit rating customer: as an inconsequential runaway spender who goes through reckless bankruptcy if you allow him to live off of unlimited credit. Government, to maintain it's sense of purpose, must be operating on a pay as you go system, in order to be sustainable and efficient.

That's the issue with the federal reserve of unlimited credit, it's gives the government a place to go that will lend unlimited supplies of debt so that it can than freely bypass the will of the population and grow to the point where it can no longer be sustained without imploding the host society it feeds it's fire from.

If we can't let go of this system of "give me an allowance for a generation and I'll be your bitch for good" brought to us by central banking, then we should at least face the facts and recognize that our societies are de facto oligarchic in nature, and that we live off the good will of those "protective godfathers" who in their fatherly love encourage us to contract unlimited debt from them.

It's a choice between Republic and Empire. I've been working (out of pure fun) on a merger of both in a form of "Imperial Republic" that would provide the best of both worlds, but it's only an embryo that may very well end up be aborted.
User avatar
Americalex
Supporter
 
Posts: 20213
Joined: Aug 27, 2004 2:48 am
Location: Quebec

Re: A VAT for the USA?

Postby Occident » May 29, 2009 6:23 pm

I am shocked at this, not because I thought America would never do this, but because I took it for granted that this was a staple tax of the western world. I am very impressed they've avoided this for so long, hopefully it can still be prevented.
"There is not in the British empire a man who more cordially loves a union with Great Britain than I do. But by the God that made me, I will cease to exist before I yield to a connection on such terms as the British Parliament propose." - Thomas Jefferson
User avatar
Occident
Supporter
 
Posts: 578
Joined: Jul 05, 2005 5:54 am
Location: England

Re: A VAT for the USA?

Postby Clubtender » May 29, 2009 7:28 pm

The only way that a VAT tax would be acceptable is if it replaces the current income tax system and abolishes income taxes entirely. The Fair Tax is an example of this.
http://www.fairtax.org/site/PageServer? ... about_main
User avatar
Clubtender
Supporter
 
Posts: 8077
Joined: Apr 28, 2005 9:02 am
Location: Pennsylvania


Return to Interests

Who is online

Users browsing this forum: No registered users and 1 guest
cron