National Sales Tax

- I already mentioned how the states would make money. The poor would get richer if they didn't have an income tax on them in the first place. + THE POOR ($5000 -) DONT PAY INCOME TAXES!!! - And no, businesses would not have to face financial hardships, if this were the only tax in place. + I never said that business will face financial hardships. I said they would tax evade. - We need to take steps in implementing the NRST, such as elimination of all the services the government does that the private sector can do better, and not to mention stopping corruption and cutting pork. + These are not what we are debating. You cannot make me debate random arguments in a different debate! + States would not lose money with the use of the system I have proposed. So, it's a win-win situation: The government gets more revenue and the populace gets wealthier. - The government would not get more revenue b/c ppl would buy less things becuse they would be too expensive, lowering our economy. How do you debate that? - the poor will not be able to afford food because they can barely afford it now and dont pay taxes - Not true, if you filled out a W-4 form and you are getting taxes taken out of your paycheck. With the Fair tax, you will receive your entire gross pay, therefore the poor should be able to shoulder the cost of a sales tax. + What about the poor who are unable to work? They cannot buy food because their taxes are too high on goods or other things. The poor cannot buy overpriced things and that is why they are exempt from the income tax now! - it will encourage states to get rid of their sales tax, giving them less money - Highly doubtful, they may drop sales tax but they will come up with other means for revenue, ie tolls, taxes on non consumer goods and or services. + Why don't they use these new sources of revenue now? + IF THEY KEEP THE SAME TAXES THAT WILL BE ABOUT %24 SALES TAX!!! - a national sales tax will not be enough money for the government + People will buy less things!!! And the money made even IF people buy more things, the revenue from half of ppl's paychecksis not ebough now. what makes u think ppl will buy more things after spending half their paycheck on items and pay more taxes. I WIN THIS DEBATE BECAUSE THEY DID NOT ANSWER SUFFICENTLY: - It will raise the the price on ordinary things for the poor - The poor will not be able to afford food because they can barely afford it now and dont pay taxes now. - children will not be able to afford the things they can now - a national sales tax will not be enough money for the government - it will encourage states to get rid of their sales tax, giving them less money - states will either continue income tax or increase sales tax significantly, starving the poor - There is a very severe problem of taxing business inputs under a sales tax. These must be exempt from tax in order to avoid cascading—taxes being levied on taxes—which creates serious economic distortions. To avoid this under a NRST, every business, no matter how small, would need some sort of exemption certificate, which would create unlimited opportunities for evasion, or they will have to be extensively audited in ways at least as onerous as under the income tax. - Services are by their nature much more difficult to tax than goods. For this reason, no state makes any effort to tax more than a few of them. Yet the NRST would tax 100 percent of services, including medical services and government services - Every serious analysis has concluded that a NRST would have massive evasion. Taxing the spending of drug dealers and others not currently paying income taxes will not come close to compensating for the new evasion opportunities that will be created. Since it is not in the interest of either retailers or consumers to pay the tax, and because all of the revenue is collected at the point of final sale, it will be too easy for tax-free deals to be made with producers and wholesalers. - Under our current tax system there is withholding of taxes on wages, which is the vast bulk of the tax base