VAT?
Dirtie_Frank
Posts: 1,348
http://wcbstv.com/topstories/vat.tax.value.2.1618053.html
White House economic advisor Paul Volcker is calling for a new national sales tax -- a value added tax or "vat" -- to help close the deficit.
But as CBS 2 HD found out area residents are saying "vat chance."
Talk about starting a tax revolt. Volcker's call for a new national sales tax -- on top of the state and local sales taxes we pay now -- got a loud Bronx cheer from just about everyone.
"That's crazy. That really is crazy. Why would need any more taxes than we already have?" said Kathy Merritt of Watchung, N.J.
"It's a bad idea. New Yorkers are struggling as it is already. We don't need that. We need incentives, breaks, jobs," East New York's Lee Santiago said.
"They're trying to make those of us who have a few bucks poor so everyone will be poor and everyone will be the same," added Charlotte Wein of Midtown.
Here's what the former mayor of Yonkers said when CBS 2 HD into him on the street:
"The Obama administration continues to be extremely out of touch with mainstream America. We're over-taxed so it's just a continuation of his far left, extreme left, agenda and I think it's a disaster for New York and actually the rest of the country, too," John Spencer said.
The new so-called value added tax would come on top of state and local taxes. Economists say the tax would also be imposed on manufacturers and producers.
"You don't need a PhD in economics to figure out that what the producer is going to do is pass this along to the customer," said Ken Goldstein of The Conference Board.
So if the vat is 10 percent, that sweater you pay $31.50 for today would have and additional:
*50 cents in taxes added on by the yarn supplier
*$1 in taxes added on by the manufacturer
*50 cents added on by the wholesaler
*$1.50 added on by the retailer
Now the sweater costs $35 plus state and local sales taxes, which is 8.75 percent in New York City.
One thing that may keep the Obama administration from imposing the tax this year is that every member of Congress is up for election come November. But next year, all bets are off.
Jose Barro, an economist for the Manhattan Institute, told CBS 2 HD that the vat might work if the government agreed to reduce personal income and corporate taxes at the same time
Thoughts?
White House economic advisor Paul Volcker is calling for a new national sales tax -- a value added tax or "vat" -- to help close the deficit.
But as CBS 2 HD found out area residents are saying "vat chance."
Talk about starting a tax revolt. Volcker's call for a new national sales tax -- on top of the state and local sales taxes we pay now -- got a loud Bronx cheer from just about everyone.
"That's crazy. That really is crazy. Why would need any more taxes than we already have?" said Kathy Merritt of Watchung, N.J.
"It's a bad idea. New Yorkers are struggling as it is already. We don't need that. We need incentives, breaks, jobs," East New York's Lee Santiago said.
"They're trying to make those of us who have a few bucks poor so everyone will be poor and everyone will be the same," added Charlotte Wein of Midtown.
Here's what the former mayor of Yonkers said when CBS 2 HD into him on the street:
"The Obama administration continues to be extremely out of touch with mainstream America. We're over-taxed so it's just a continuation of his far left, extreme left, agenda and I think it's a disaster for New York and actually the rest of the country, too," John Spencer said.
The new so-called value added tax would come on top of state and local taxes. Economists say the tax would also be imposed on manufacturers and producers.
"You don't need a PhD in economics to figure out that what the producer is going to do is pass this along to the customer," said Ken Goldstein of The Conference Board.
So if the vat is 10 percent, that sweater you pay $31.50 for today would have and additional:
*50 cents in taxes added on by the yarn supplier
*$1 in taxes added on by the manufacturer
*50 cents added on by the wholesaler
*$1.50 added on by the retailer
Now the sweater costs $35 plus state and local sales taxes, which is 8.75 percent in New York City.
One thing that may keep the Obama administration from imposing the tax this year is that every member of Congress is up for election come November. But next year, all bets are off.
Jose Barro, an economist for the Manhattan Institute, told CBS 2 HD that the vat might work if the government agreed to reduce personal income and corporate taxes at the same time
Thoughts?
96 Randall's Island II
98 CAA
00 Virginia Beach;Camden I; Jones Beach III
05 Borgata Night I; Wachovia Center
06 Letterman Show; Webcast (guy in blue shirt), Camden I; DC
08 Camden I; Camden II; DC
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16 Phillie II
98 CAA
00 Virginia Beach;Camden I; Jones Beach III
05 Borgata Night I; Wachovia Center
06 Letterman Show; Webcast (guy in blue shirt), Camden I; DC
08 Camden I; Camden II; DC
09 Phillie III
10 MSG II
13 Wrigley Field
16 Phillie II
Post edited by Unknown User on
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Comments
For the US, it's will never happen because it's a move that would be political suicide for many legislators. If we didn't have such high state/local sales tax that several states have, then it might be a easier sale. But in Albany county in NY, we pay 8%, I couldn't imagine paying 18% (or whatever the VAT amount is) for everything we purchase.
was like a picture
of a sunny day
“We can complain because rose bushes have thorns, or rejoice because thorn bushes have roses.”
― Abraham Lincoln
Every province but I think Alberta has a provincial sales tax. In Ontario it is 8% on top of the 5% GST. Although I do have to laugh when people in the US, like in that story complain that they are over taxed.
In the UK our VAT is 17.5% (some things are VAT exempt) ... and I believe we have one of the lowest VATs in Europe.
Our government did the opposite though and lowered VAT to 15% last year to encourage spending but it has risen back to 17.5% this year.
It's not something you really notice as it is included in the price shown and not something that is added at the till/register like sales tax in the US.
BOS-9/28/04,9/29/04,6/28/08,6/30/08, 9/5/16, 9/7/16, 9/2/18
MTL-9/15/05, OTT-9/16/05
PHL-5/27/06,5/28/06,10/30/09,10/31/09
CHI-8/2/07,8/5/07,8/23/09,8/24/09
HTFD-6/27/08
ATX-10/4/09, 10/12/14
KC-5/3/2010,STL-5/4/2010
Bridge School-10/23/2010,10/24/2010
PJ20-9/3/2011,9/4/2011
OKC-11/16/13
SEA-12/6/13
TUL-10/8/14
Politics sucks.