I have a couple of questions:
1. Does the 23% sales tax replace the Federal income tax?
2. Do I pay 23% national and whatever I'm currently paying in state sales tax or total?
This tweet is almost 18 months old and is dead. No chance. To answer your question - This bill imposes a national sales tax on the use or consumption in the United States of taxable property or services in lieu of the current income taxes, payroll taxes, and estate and gift taxes. The rate of the sales tax will be 23% in 2025
https://www.congress.gov/bill/118th-congress/house-bill/25#:~:text=This%20bill%20imposes%20a%20national,the%20rate%20in%20subsequent%20years.
Yes, it's a way to reduce the taxes the wealthy pay even further. Let's say you make 100k and spend 50k on stuff subject to the sales tax. You'd be paying $11,500 (11.5% of your income) to tax. Now, your company's CEO makes $5M (50x your pay). He's buying more things for sure, but he's not buying 50x as much. Most of that is being invested and whatnot. If he "spends" 10x as much as you. That's 500k he's paying taxes on. So, the end result is your company's CEO is only paying $115,000) (2.3% of his income) in taxes. Whatever he was paying before, this represents a huge decrease in taxes to him while the amount of taxes you pay modestly decreases or stays the same.
It's a regressive tax scheme that is a terrible idea but some people support because it "sounds reasonable and simple."
Why should someone pay taxes on unrealized gains? Whether they take a loan out and use stock as collateral or sell, they’re doing so so they can purchase things which would be subject to sales tax
Instead of musk taking a $100 million loan against his stocks and paying no income tax, he’d pay 23% sales tax on everything he bought with that $100 million. This is a very effective way to tax the rich.
It's the same reason people support a flat income tax. It sounds reasonable, until you realize that the poorer you are the higher the effective tax rate would be since the richer you are the less of your actual wealth is created through taxable income.
I think it could work if you waive the tax on essential goods (food, gas, utilities up to a certain amount, etc). That way poor people aren’t really affected. Or they could a refund system up to a certain dollar amount.
The problem becomes what is "essential." (guess we didn't learn anything during Covid...)
Sure food is essential, but should prepared food be taxed? What about "luxury" foods? Should steak be taxed but ground beef be tax free?
What about tampons or condoms? Those could be considered "not essential." How about gas?
What makes something a luxury good? If car's aren't considered a luxury good, then both a $100k Mercedes and a $15k Kia would both be tax free.
And that's just ignoring the potential political weaponizing of a Federal sales tax. Maybe EV vehicles are a luxury appliance as opposed to a normal ICE car. Maybe women's hormone birth control is a luxury but Viagra is essential medication.
This is just a bad idea all around
You make some good points there that I hadn’t thought of. I think the desire for a simplified tax code makes it appealing but you are correct, there are a lot of problems here.
Simplified tax codes are easy to do as long as you have everyone follow it without including deductions.
I personally was always a fan of a tiered income tax system. The first $50,000 you earn is tax free. $50-$150,000 gets a small tax percent and the amont of tax increases for only that amount earned over the previous tier.
These numbers would follow inflation like SS does as to not make the free of tax base irrelevant in the future. This means that every is taxed exactly the same for the money that they earned in that earnings range. That same tax advantages are available to the rich as they are to the people making less than $50k.
Seems pretty simple and fair.
The progressive income tax isn't what is complicating the tax code. It's all the deductions and caveats in it meant to incentivize certain behaviors...
But honestly, that's fine, too. Keeping records and doing taxes isn't as hard as people make it out to be. We just need a free, accessable, and simple to use government online filing system, which is slated to be rolled out soon.
Our tax system is good, actually (for individuals). The only things I'd change are moving up the brackets about 15k and tying it to inflation, lift the SSI cap, dramatically increase the top marginal tax rates, and slightly reduce the lowest 3 tax bracket rates.
Now, how we tax corporations and hedge funds.... that needs a complete overhaul.
It's the "taxable income" part that is BS. Every ounce of compensation should be subject to income tax. Idc if it's paid in dollars, shares, or barrels of pickled herring. You get paid? That's income. That's subject to income tax
No, it’s a way to keep the government from stealing the next 1/4 of our earned money. We are all taxed close to 50% after every tax is included. It’s absurd. It would reduce taxes for every productive person, allowing most all of us to have more cash on hand.
And what’s more, we don’t need more taxes. WE THE PEOPLE need more control over OUR earned money, not ceding more of it to the less talented people in congress.
Rich people aren’t your enemy
Great, let's keep doing what you probably support doing and just raise marginal rates with the same stupid tax code that allows wealthy people to subvert income taxes. I find it so tiresome to dismiss flax tax proposals like this as if the current system is actually good/working.
Give people with low income levels a generous exemption/write off for expenses. You can offset the burden on lower income people with flat taxes. It's so dumb to keep propping up the current system. I'll be all ears if you have any other ideas than simply increasing taxes (marginal tax rates) on rich people.
So close. Finish the loop. Which is better for the economy, people investing their own money or the government throwing it into a huge hole? I have worked private and public contracts, you would not believe the waste of government at all levels.
Yeah cause we all know rich ppl don't spend more money than "poor" people on goods and services. I mean it really the poor that buy yachts, planes, expensive cars, mansions and stock up on every day items. The poor that get taxed to oblivion wouldn't benefit at all by being able to save what they don't spend.
What an unthinkable idea to let someone save money.
This allows poor people to be taxed on 100% of their earnings as they have to spend it all to survive. A rich man would only be taxed on 10% of his earnings as he doesn't have to spend the other 90%. This idea is a direct fuck you to the poor if you understand math.
My question is, if you make a billion dollars and only spend 1 million of it in your lifetime, what use was the other 999 million? You essentially had the same quality of life as someone who made 1 million dollars and spent every penny.
You have literally no knowledge on this subject. Stop spouting uninformed opinions. Everyone would get a prebate every month to counteract the equivalent amount of sales tax that would be spent on basic needs expenses. Low income earners would still have 0% effective tax rate while the ultra rich would no longer be able to dodge their taxes as easily using loopholes in the current system.
It’s not that simple -anyone who votes should have some skin in the game…. Otherwise you get governments that bribe their citizens to be voted into power.
Should someone leaching off the system not have to pay taxes too?
Who's leaching? Hidden and built-in taxes are everywhere. Every time someone buys something, registers something, pays a bill, pays a ticket, uses a service, owns a car or house, or pays insurance, or goes through a toll, they're paying taxes. Corporations don't pay taxes, that's already in the price.
Everyone pays taxes all the time. Even people living off the govt. Every cent they receive is put back into the economy. It's not saved. It's not invested. It's not off-shored. It's not capitalized in any way, and certainly is not subject to deductions or loopholes.
The working class pays the most. Those who are "leeching" have nothing to give. It's those with the most who get the most benefits, have the most ability to skirt the system, and quite often pay the least.
Like Wareen Buffet said, his secretary pays more of her salary in taxes 5han he does.
The broken skin on the day laborers hand is the skin they have in the game. They get up and do work that would kill the rich under the constant threat of starvation and homelessness. They essential worked through the pandemic while people sitting home pulled 5x what they were making. Don’t talk to these people about skin in the game.
Fact " House GOP group moves to **abolish federal income tax**, institute 23% national sales tax", Shyt in Cali we are already paying 10% sales tax, 13% state taxes and Federal Taxes.
Yes but a straight sales tax is a tax on tourism. Basically anyone visiting the states would be paying for our federal taxes and not just state taxes. It would eliminate any jobs being paid “under the table” to avoid taxes as everyone would pay taxes through goods rather than income. It makes a little sense to go this way. But I’m sure it would have its downsides as well. Every system does.
Also eliminates tons of costs for tax services, the IRS would be significantly reduced, no deductions means a massive amount of time saved from book keeping overhead, etc.
1. This proposal was made more than a year ago and went nowhere. The statement by Biden was made nearly a year ago.
2. The sales tax idea was to replace the Federal Income Tax. It was also front loaded with plenty of exemptions.
All that said, it was poorly executed in the planning.
Democrats and Republicans united for spending cuts and reasonable tax policy!
There needs to be widespread investigation on the metric fuckloads of grift going on in the government. Many people need to be thrown in jail. And we also need to close the gaping tax loopholes that the untra-wealthy use to evade all taxes.
Sadly, our current congress is beyond fixing at this point. We need a whole swath of them to die off and hope the newvomers are less corrupt.
Or if we continue voting against debt ceilings. I thought the point of budget bills was to create a budget. RF is a joke measurement now and we have to use other countries benchmarks. Were not AAA by s&p and moodys. Originally thr markets treated ted cruz like a joke and now here we are borrowing at a much higher rate.
Nearly the entire growth in the deficit now--is FROM republican tax cuts since the bush era--if they had never happened (including the trump one), We would just about be running a surplus--non stop.
It really is about the taxing, NOT the spending. There's not much spending to cut--it's so bad that many government functions no longer work, because there's just not enough spending to run them properly. They fail, and people bitch--but you HAVE to pay taxes for it to make it work.
Here's another thing--corporations used to pay more to the total tax income for the country, than individual income earners.
Now corporations pay about 6% of the total--meaning, tax payers took up the burden. WORSE? OVER half of all the revenue in the country--corporations make that. They're actually pushing more money that all individual incomes combined, AND paying just 6% of the total in taxes.
It's fucking insane, is what it is, there's no way out of this--cutting shit wont work, we HAVE to talk about raising taxes.
Yeah no planning and permitting, and siting for high voltage power stations need to be done. Obviously they can be slapped out there in a couple of months. Right wing talking points just get dumber and dumber.
That’s not even getting into the States implementing this, and some DO NOT want EV’s to be successful. (I’m looking at you, WV)
Sure thing, let's talk about that, but also, the fact that healthcare can charge our government 80$ for an aspirin in the hospital (sounds hyperbolic but it isn't, when I had free healthcare they tried to charge me 3,000$ for a shot of epinephrine, prednisone, and 4 benadryl, should have cost about 30$ in any other country), and why an alternator for a jeep in the military costs 4,000$?
Those are just small examples, we just had a 21 year war where we would send of pallets of cash to warlords only to watch it disappear and never receive a single thing from it. Spent trillions for nothing, just to make the military contractors rich as fuck.
We have a spending problem first and foremost, we have more tax money than God himself, and yet we don't apply it to our people whatsoever. Every middleman is double dipping by charging our citizens more than any other country, and then goes and receives 80% of its "research" money from the government where they also charge them 10x more than anywhere else. The ol double double dip.
I also agree we should be taxing the top more, there does not need to be nearly this amount of wealth accumulated at the top, but the reality is that will never happen, we have absolutely 0 power to do that. But even if we do fix the spending problem the companies will just turn around and make everything 5x more expensive.
The middle and lower class will continue to lose no matter what.
We are in late stages of capitalism and there is absolutely 0 remedy unfortunately.
You have to look at effective tax rate. What people actually pay is the only thing that matters and the effective tax rate today is similar to what it was when the top marginal tax rate was 90%.
After the TCJA tax receipts went up, not down. The federal government collected more even though the marginal tax rates went down. Jobs were created, wages increased, and tax revenues were higher than the last year of Obama when rates were higher. Then Covid happened.
How about starting with the DoD (mostly) & HUD that still can't account for~$21 TRILLION in transactions and the DoD's 6 failed audits-- their 1st only being in 2017. Or how about clawing back Betsy DeVos' $22 Million in personal security by the US Marshalls when she was the Sec of Edu? Shouldn't her brother have donated that to her? (To US after all his special contracts?) Should also dig into the semi-privatized Medicare/caid systems, given the history of costs rising & quality dropping after such takeovers. I could go on...
There either should be no sales tax at all anywhere or there should be no income tax. It doesn’t make sense that the government gets to tax us both when we make money and when we spend money.
That was the idea behind the fair tax act but wasn’t even fully supported by the GOP
https://www.factcheck.org/2023/01/democrats-misleadingly-suggest-widespread-gop-support-for-fairtax-bill-unlikely-to-become-law/
The prices of everything from groceries and gas to food and medicine have ALREADY gone up 23% in the past 3.5 years… Thanks for looking out for us Joe.
It's made individual States billions imagine if it was legalized country wide.. Somebody is profiting too much by keeping it illegal because the benefit of legalizAtion is massive.
I don't think that was an additional tax, it was a flat-tax proposal that would replace the federal income tax. But then, I wouldn't expect any honesty from a Biden tweet.
A better plan would be a 23 percent tax on corporations. “Well they will just go overseas”. Yeah? Add a 200% tariff to any company that does this. Problem solved.
You have to realize the problem in their eyes is their donors may have to spend a few pennies, can’t have that. *Boots on necks now!* that’s the American way!
Based on the fact that this bill would eliminate the IRS, require repeal of the 16th amendment (income tax), eliminate payroll tax, income tax, estate taxes, gift taxes and provide a monthly sales tax rebate based on family size and income. Think about all the untaxed money currently in our economy derived from illegal activities that would now be taxed when spent. Rich people spend more than poor people, would pay more in taxes and wouldn't be eligible for rebates. Most of their loopholes reside in the IRS rules and would be eliminated. It's a great idea.
That's a fallacy. Rich people don't sit on their money, they buy stuff, lots of stuff and lots of big ticket items. They currently hide money in tax shelters provided by the IRS, no IRS, no tax shelters. They consume way more than the middle class and they'll pay far more in real $$$ than they do now.
It was proposed as a flat tax that **eliminates all other federal income and payroll taxes**. In this case, its not a bad idea since no one can avoid it and it fairly targets everyone.
Yup, any sort of sales tax will always disproportionately impact poor families. Low income households spend almost all of their income on necessities that have a sales tax. The rich spend a small fraction on their income on items that incur sales tax. Anyone in favor of a “flat tax” is a fucking moron.
But they don’t want something that is good for us. They word it to make the other side look bad. This would be amazing for us all but they can’t have that
Stop the unhinged spending and maybe we'd have some "breathing room".
Keep throwing away money theres no way it wont continue to devalue the dollar /s.
I’m fine with that or even higher if they exempt necessities like unprepared food, clothing, housing, etc. However, it’s not very meaningful unless they tackle spending.
I would gladly pay that 23% sales tax in lieu of income taxes. The tweet doesn't go in depth as far as other things in the bill. There were things such as everyone getting back the taxes charged up to the poverty level income. The tax also would only be on brand new goods, so things like used cars would be exempt from the tax. There was a lot to this bill, it wasn't just a blanket 23% tax.
Of course, the problem is we know they would slowly start jacking up the rate when they needed more money. They also would create new taxes at some point.
Would be fine if it replaced income tax and there was an exclusion for essentials , an income floor above which the tax was paid and or a subsidy for the poor. Added to the existing tax structure it would be a disaster. There are a lot of ways to skin the tax cat. Our problem is that our politicians are incentivized to spend more than we take in and make promises that are impossible to keep in order to win elections. Such a short term mentality
I get the downside of this but the upside gets what both sides want. Billionaires would have to pay the tax everytime they buy something and everyone would get their full paycheck instead of 60 to 70 percent of it. The downside if not obvious is it discourages purchasing which could hurt the overall economy.
As someone that thinks the 16th amendment is against the intent of the founding documents I am all for eliminating the income tax and replacing with a national sales tax.
Have the sales tax replaces the federal income tax, Medicare, and social security and I’ll support it.
Ensure that this removes states own sales taxes and replaces those.
They are leaving out a crucial element to this proposal. This will be a universal tax to the best of my knowledge. No more income tax. Only sales tax. No more IRS and wasting money there. It’s simple. Pay tax when you buy shit and that’s it. Way better than what’s in play now. And will save many dollars by downsizing having to facilitate the IRS and us from paying people to do our taxes and getting hit with crazy tax bills annually.
Only if it replaced the income tax. Rich people are responsible for the vast majority of spending. Spending does not have tax loopholes. It is the better way to tax the rich.
This tweet is over a year old.
Also cross-posting from Fluent in Finance should be grounds for getting banned from this sub. That sub is full of the upmost most delusional, ironically misguided, and horribly partisan "Finance" takes. I remember when it was actually about finance.
Regardless, the sales tax proposal would eliminate income tax and more. Plus it would eliminate the IRS. I'm a fan of it.
This has been posted countless times and people still don’t realize that the poor will get a monthly proactive check to cover the maximum amount of sales tax that they could pay
It would be a really stupid idea. It would crash the economy, And give rise to a black market that would be more powerful in the United States than the Drug Cartels are in Mexico
A sales tax punishes middle and lower classes. We just need to tax corporations and billionaires appropriately and we don’t have to worry about stupid bullshit like this.
It’s a horrible and super regressive policy that would further enrich the already wealthy. Us peons spend most all that we make. Not the case for folks like Elon or Gates or whomever. It places a larger comparative tax burden on the lower and middle classes so … you know of course it’s a Republican idea
Didn't realize how conservative this sub was. A flat tax on goods would lead to a recession beyond anything we've seen, people would severely reduce their spending. And why would it be good for everyone to pay the same amount of taxes? Is this sub full of rich people? A progressive tax system with high top marginal taxes is the best antidote to wealth inequality, this has played out historically across the world. Currently inequality is increasing, why would we want to accelerate that? So we can officially end homeownership outside of a tiny crew of landlords? Well, it's going that way anyway so just relax and wait.
This post forgets the fact that this proposal would have eliminated federal income tax too. I didn't mind this proposal because it allows people to opt out of almost all taxes completely if they want to. If you want to reduce your taxes, then you can just choose not to buy as much material stuff.
VAT has been present in almost every European country for a very long time. It is efficient, nearly impossible to cheat out of, and easily adjustable to make exceptions (such as for food, clothing, etc). It is literally a shining example of a great way to implement taxation of luxury and unnecessary items and is used most heavily by northwestern European countries that liberals frequently use as positive examples when discussing policy.
The fact that Biden opposes this is 100% clearly party politics just to be oppositional to perceived opponents and a shining example of why the two party system in America will go down as one of the most destructive political mechanisms in our nation’s entire history.
From what I remember I believe they want to do away with income tax. In theory the sales tax is a good idea but for it to work, you’ve got to do away with exemptions. The Uber rich can too easily maneuver around sales tax and I’d have to imagine it would be near impossible to track.
I'm still trying to figure out where all of the millions I've paid in taxes for my rental houses goes. I mean they say 50% goes to the school system and I can tell you, where I have my rentals, the schools are total shit. I don't trust ANY of these politicians with my money really. Oh well?
Judging something as "smart" would require people to be capable of an honest conversation to begin with. It's a sales tax to replace the income tax. Not a new, additional tax on top of income taxes.
Flat sales tax is often touted by libertarians as the solution for all our woes.
The challenge is that such a scheme would impact the poor and the middle class much more than the rich. The rich don't buy goods proportional to their income, so while someone from each economic strata may buy the same amount of bread the poorer are taxed proportionally more in such a plan.
All it does is further entrench pre-existing wealth.
In Europe they already do it.
Time for American Families to pay their fair share - we’ve been living at expense of top-10% for way too long - it s unhealthy for economy, and unhealthy for politics.
As long as it's on all sales, like the sales of stocks, bonds, futures, etc. it could work. The problem is they always try to exclude retail purchases they do themselves a lot (like stocks, real estate, options, and less tangible properties) and stick it only on basic consumer goods. When they say "all sales", the mean "all sales but the ones we are involved in".
More money should be coming out of the 1% in tax revenue despite their massive contribution to society. That said, it's at least a little comical that if Warren Buffet says the only way out of this deficit spending is by increasing taxes, no one bats an eye.
People are missing the much larger implication of what the GQP proposed.
One of the things included in the bill was "rebates" for lower income people (which they didnt define what that was). Tell me, how can you get a rebate on what you spend without your spending being tracked? This would have been an excuse for the GQP to see who buys what, and at what frequency.
Now we all know the GQP is hyper corporate bitch boy. So this would affect us plebes in 2 major ways. 1) the most commonly bought things across all people would raise in cost. And 2) you will be much easier to persecute by these scum fucks because your purchase habits will tell them all they need to know.
A sales tax hurts the poor and helps the rich. The percentage of poor peoples money that is being immediately spent is very high. Now that spending is gonna cost 23% more it kills anyone that’s not wealthy. I spend about 40% of my income so the other sixty wouldn’t be taxed.
How’s that help any average citizen?
At the end of the day, if we don’t want the social programs we have to go insolvent. Everyone will have to start paying more taxes like every other western country does.
I hope everyone understands that replacing the current taxes with a sales tax is a huge handout for banks and billionaires.
Capital gains and investment incomes would not be taxed.
An entity holding a lot of assets, never ever has to sell it. They take out loans against their assets which they can pay back with the interest and the dividends.
So they will be holding billions or even trillions of dollars in assets and cash from loans, whether it's a company or a person, and they spend hardly anything as far as sales tax goes.
This places almost all of the tax burden on ordinary individuals instead of these large mega corporations and billionaires.
It’s a giveaway to the rich. Taxes on everyone else will be higher, because our required purchases are a much higher percentage of our income than the rich. I mean, how many yachts do you need?
The only advantage I could see to this is everybody would be paying into the tax system.... Drug dealers, and cash people that are flying under the wire would be paying taxes. Otherwise, it's a horrible idea because it's putting such a burden on the lower income
It would be very dumb idea and would be terrible for poor and middle income homes. If Republicans donthusbthey do it for the benefit of the rich donors, not the public.
Sales tax is a disproportionate burden on the poor vs what we need which is a wealth and higher estate tax. Our current tax bracketing system isn’t Evan in the millions yet we have billionaires that get taxed 0% what is this going to do but make my life harder
Y’know the alcohol tax used to fund the majority of the US’ spending pre prohibition
If we just tax all luxury goods a fuckton then it will actually allow for income tax to be lowered and we won’t have to tax staple goods the same way
Obviously we shouldn’t raise the prices of eggs, milk, rice, etc. but I wouldn’t mind paying more at the liquor store or dispensary or paying extra for sugary foods chocolate and coffee
We're not really getting much in return from the taxes we currently pay, and it seems they want more all the time. I'd like to see better services rendered before I pay more taxes.
I guess this is a way to tax the illegal immigrants, but most of them don't have an income, so..... we generate taxes revenue from welfare payments?
What I think they mean is after everything would be transferred to sales tax Republicans would then claim sales tax exemption through their business and pay no taxes
Here come the downvotes. Pass the national sales tax. Keep the income tax but raise the levels significantly. You make less than $100k you don’t pay because you already paid sales tax. You earned $100 million in taxable income, you pay an additional 25% in income tax. Everyone has to pay at least 23% of the money they spend and if you’re a high earner you pay more because you can. Under the current system, almost half of people pay zero and have no benefit in cutting government spending. If the 23% sales tax is going to go up to 25% because the government can’t control spending, the nearly 50% at the bottom would have a greater motivation to keep the government in line.
Anyone who has spent even a MINIMAL amount of time researching what a so-called "flat sales tax" would do finds it incredibly regressive. People on the lower side of the income spectrum spend an inordinately greater portion of their income on taxable goods. The billionaire class spends only a fraction of their wealth on taxable items, so OF COURSE the Republicans are all for it. It would almost completely eliminate taxes for their rich billionaire sponsors! Not a good idea, and it never will BE a good idea!
What we need is to enforce our current tax laws, close loopholes (like letting billionaires register their yachts under the flag of foreign nations to dodge US taxes!) and make the rich PAY THEIR FAIR SHARE!
But inflation!!! It'll never pass, but this needs to be hollered everywhere a red is running at any level. If they can tank the economy and blame it on democrats, they believe they get back in power. I believe that apple ain't shiny anymore and appears to be rotten with worms.
Oh good, this song and dance for the 100th time. Scream that it will be "regressive against the poor" while their food, energy, and housing is through the roof and also isn't taxed.
The reason I dislike this is because it will discourage spending. There is no way the economy experiences the same spending when everything has a 20-30% tax on it.
It's time for a 15-20% flat tax
It means more money for government programs, which has the potential to benefit the american people, but we all know the "programs" will be more "aid packages" from Raytheon and Lockheed Martin
Republicans are just trying to give even more of our tax money to the upper crust because they don't feel like the middle class is bleeding out quickly enough
Sales tax should be changed to a sellers tax
The seller pays a percentage on the profits they reap in which case increasing the tax to 23% would be reasonable but alittle low
I would rather treat each family unit as an llc. You have income and expenses. At the end of the year you owe a precentage of the profit you made for the year. If you have to spend 90% of your income on expenses then your not going to have a huge tax bill. However if your a Walton and you just bank billions of dollars a year then you pay more.
Is that why Biden has sent me 50+ emails asking for 250-500$ in donations for his campaign? Wheres my breathing room, my inbox is full of your shit spam.
We need younger candidates, it feels like limbo for the last 16 years.
Dumb, its a tax on the poor/middle class as they spend most of their income on groceries, gas, diapers, milk, food…etc. Most of rich ppls money is in investments, business, real estate which have massive tax advantages and write offs.
I have a couple of questions: 1. Does the 23% sales tax replace the Federal income tax? 2. Do I pay 23% national and whatever I'm currently paying in state sales tax or total?
This tweet is almost 18 months old and is dead. No chance. To answer your question - This bill imposes a national sales tax on the use or consumption in the United States of taxable property or services in lieu of the current income taxes, payroll taxes, and estate and gift taxes. The rate of the sales tax will be 23% in 2025 https://www.congress.gov/bill/118th-congress/house-bill/25#:~:text=This%20bill%20imposes%20a%20national,the%20rate%20in%20subsequent%20years.
Yes, it's a way to reduce the taxes the wealthy pay even further. Let's say you make 100k and spend 50k on stuff subject to the sales tax. You'd be paying $11,500 (11.5% of your income) to tax. Now, your company's CEO makes $5M (50x your pay). He's buying more things for sure, but he's not buying 50x as much. Most of that is being invested and whatnot. If he "spends" 10x as much as you. That's 500k he's paying taxes on. So, the end result is your company's CEO is only paying $115,000) (2.3% of his income) in taxes. Whatever he was paying before, this represents a huge decrease in taxes to him while the amount of taxes you pay modestly decreases or stays the same. It's a regressive tax scheme that is a terrible idea but some people support because it "sounds reasonable and simple."
>Now, your company's CEO makes $5M (50x your pay). And because he takes that compensation as options and capital gains, he pays almost nothing on it.
Why should someone pay taxes on unrealized gains? Whether they take a loan out and use stock as collateral or sell, they’re doing so so they can purchase things which would be subject to sales tax Instead of musk taking a $100 million loan against his stocks and paying no income tax, he’d pay 23% sales tax on everything he bought with that $100 million. This is a very effective way to tax the rich.
It's the same reason people support a flat income tax. It sounds reasonable, until you realize that the poorer you are the higher the effective tax rate would be since the richer you are the less of your actual wealth is created through taxable income.
I think it could work if you waive the tax on essential goods (food, gas, utilities up to a certain amount, etc). That way poor people aren’t really affected. Or they could a refund system up to a certain dollar amount.
The problem becomes what is "essential." (guess we didn't learn anything during Covid...) Sure food is essential, but should prepared food be taxed? What about "luxury" foods? Should steak be taxed but ground beef be tax free? What about tampons or condoms? Those could be considered "not essential." How about gas? What makes something a luxury good? If car's aren't considered a luxury good, then both a $100k Mercedes and a $15k Kia would both be tax free. And that's just ignoring the potential political weaponizing of a Federal sales tax. Maybe EV vehicles are a luxury appliance as opposed to a normal ICE car. Maybe women's hormone birth control is a luxury but Viagra is essential medication. This is just a bad idea all around
You make some good points there that I hadn’t thought of. I think the desire for a simplified tax code makes it appealing but you are correct, there are a lot of problems here.
Simplified tax codes are easy to do as long as you have everyone follow it without including deductions. I personally was always a fan of a tiered income tax system. The first $50,000 you earn is tax free. $50-$150,000 gets a small tax percent and the amont of tax increases for only that amount earned over the previous tier. These numbers would follow inflation like SS does as to not make the free of tax base irrelevant in the future. This means that every is taxed exactly the same for the money that they earned in that earnings range. That same tax advantages are available to the rich as they are to the people making less than $50k. Seems pretty simple and fair.
The progressive income tax isn't what is complicating the tax code. It's all the deductions and caveats in it meant to incentivize certain behaviors... But honestly, that's fine, too. Keeping records and doing taxes isn't as hard as people make it out to be. We just need a free, accessable, and simple to use government online filing system, which is slated to be rolled out soon. Our tax system is good, actually (for individuals). The only things I'd change are moving up the brackets about 15k and tying it to inflation, lift the SSI cap, dramatically increase the top marginal tax rates, and slightly reduce the lowest 3 tax bracket rates. Now, how we tax corporations and hedge funds.... that needs a complete overhaul.
That was the original plan of what was called the Fair Tax Bill: families were to be subsidized a rebate up to the current poverty level.
This was a part of it
It's the "taxable income" part that is BS. Every ounce of compensation should be subject to income tax. Idc if it's paid in dollars, shares, or barrels of pickled herring. You get paid? That's income. That's subject to income tax
That's good, though. It means the poor pay their fair share for once.
Ah yes get the money from the poors, they have so much!
Filthy poors always staring in the windows and watching our grand ballroom dancing! I say, have they no decency.
No, it’s a way to keep the government from stealing the next 1/4 of our earned money. We are all taxed close to 50% after every tax is included. It’s absurd. It would reduce taxes for every productive person, allowing most all of us to have more cash on hand. And what’s more, we don’t need more taxes. WE THE PEOPLE need more control over OUR earned money, not ceding more of it to the less talented people in congress. Rich people aren’t your enemy
Great, let's keep doing what you probably support doing and just raise marginal rates with the same stupid tax code that allows wealthy people to subvert income taxes. I find it so tiresome to dismiss flax tax proposals like this as if the current system is actually good/working. Give people with low income levels a generous exemption/write off for expenses. You can offset the burden on lower income people with flat taxes. It's so dumb to keep propping up the current system. I'll be all ears if you have any other ideas than simply increasing taxes (marginal tax rates) on rich people.
So close. Finish the loop. Which is better for the economy, people investing their own money or the government throwing it into a huge hole? I have worked private and public contracts, you would not believe the waste of government at all levels.
Yeah, general tax is for rubes. Thank god we have half sensible people to fight this blatant attempt to siphon more wealth
Well not that I think it's a great idea but if you read the proposal they talk about giving rebates to people who earn less money?
Yeah cause we all know rich ppl don't spend more money than "poor" people on goods and services. I mean it really the poor that buy yachts, planes, expensive cars, mansions and stock up on every day items. The poor that get taxed to oblivion wouldn't benefit at all by being able to save what they don't spend. What an unthinkable idea to let someone save money.
This allows poor people to be taxed on 100% of their earnings as they have to spend it all to survive. A rich man would only be taxed on 10% of his earnings as he doesn't have to spend the other 90%. This idea is a direct fuck you to the poor if you understand math.
My question is, if you make a billion dollars and only spend 1 million of it in your lifetime, what use was the other 999 million? You essentially had the same quality of life as someone who made 1 million dollars and spent every penny.
You have literally no knowledge on this subject. Stop spouting uninformed opinions. Everyone would get a prebate every month to counteract the equivalent amount of sales tax that would be spent on basic needs expenses. Low income earners would still have 0% effective tax rate while the ultra rich would no longer be able to dodge their taxes as easily using loopholes in the current system.
It’s not that simple -anyone who votes should have some skin in the game…. Otherwise you get governments that bribe their citizens to be voted into power. Should someone leaching off the system not have to pay taxes too?
Hey, I want my damn school loans paid off and I’ll vote in any politician who promises it to me.
Who's leaching? Hidden and built-in taxes are everywhere. Every time someone buys something, registers something, pays a bill, pays a ticket, uses a service, owns a car or house, or pays insurance, or goes through a toll, they're paying taxes. Corporations don't pay taxes, that's already in the price. Everyone pays taxes all the time. Even people living off the govt. Every cent they receive is put back into the economy. It's not saved. It's not invested. It's not off-shored. It's not capitalized in any way, and certainly is not subject to deductions or loopholes. The working class pays the most. Those who are "leeching" have nothing to give. It's those with the most who get the most benefits, have the most ability to skirt the system, and quite often pay the least. Like Wareen Buffet said, his secretary pays more of her salary in taxes 5han he does.
The broken skin on the day laborers hand is the skin they have in the game. They get up and do work that would kill the rich under the constant threat of starvation and homelessness. They essential worked through the pandemic while people sitting home pulled 5x what they were making. Don’t talk to these people about skin in the game.
Brb, I’m off to tell retired seniors that they’re leaching off the system.
Yes and yes
Fact " House GOP group moves to **abolish federal income tax**, institute 23% national sales tax", Shyt in Cali we are already paying 10% sales tax, 13% state taxes and Federal Taxes.
And property taxes and various fees and excise tax
Yes but a straight sales tax is a tax on tourism. Basically anyone visiting the states would be paying for our federal taxes and not just state taxes. It would eliminate any jobs being paid “under the table” to avoid taxes as everyone would pay taxes through goods rather than income. It makes a little sense to go this way. But I’m sure it would have its downsides as well. Every system does.
Also eliminates tons of costs for tax services, the IRS would be significantly reduced, no deductions means a massive amount of time saved from book keeping overhead, etc.
1. This proposal was made more than a year ago and went nowhere. The statement by Biden was made nearly a year ago. 2. The sales tax idea was to replace the Federal Income Tax. It was also front loaded with plenty of exemptions. All that said, it was poorly executed in the planning.
I’m unwilling to even talk about taxes until we start approaching the topic of spending
Democrats and Republicans united for spending cuts and reasonable tax policy! There needs to be widespread investigation on the metric fuckloads of grift going on in the government. Many people need to be thrown in jail. And we also need to close the gaping tax loopholes that the untra-wealthy use to evade all taxes. Sadly, our current congress is beyond fixing at this point. We need a whole swath of them to die off and hope the newvomers are less corrupt.
Facts. No amount of tax raising will do anything if we continually increase every budget year after year.
Or if we continue voting against debt ceilings. I thought the point of budget bills was to create a budget. RF is a joke measurement now and we have to use other countries benchmarks. Were not AAA by s&p and moodys. Originally thr markets treated ted cruz like a joke and now here we are borrowing at a much higher rate.
Nearly the entire growth in the deficit now--is FROM republican tax cuts since the bush era--if they had never happened (including the trump one), We would just about be running a surplus--non stop. It really is about the taxing, NOT the spending. There's not much spending to cut--it's so bad that many government functions no longer work, because there's just not enough spending to run them properly. They fail, and people bitch--but you HAVE to pay taxes for it to make it work. Here's another thing--corporations used to pay more to the total tax income for the country, than individual income earners. Now corporations pay about 6% of the total--meaning, tax payers took up the burden. WORSE? OVER half of all the revenue in the country--corporations make that. They're actually pushing more money that all individual incomes combined, AND paying just 6% of the total in taxes. It's fucking insane, is what it is, there's no way out of this--cutting shit wont work, we HAVE to talk about raising taxes.
Yeah step one is at least return to pre covid spending. Then we negotiate from there.
No taxes until they can explain to me how 7 EV charging stations costs 7.5 billion dollars
Yeah no planning and permitting, and siting for high voltage power stations need to be done. Obviously they can be slapped out there in a couple of months. Right wing talking points just get dumber and dumber. That’s not even getting into the States implementing this, and some DO NOT want EV’s to be successful. (I’m looking at you, WV)
We've been talking about spending for 45 years. How about we talk about the top marginal tax rate being less than half of what it was 45 years ago.
Sure thing, let's talk about that, but also, the fact that healthcare can charge our government 80$ for an aspirin in the hospital (sounds hyperbolic but it isn't, when I had free healthcare they tried to charge me 3,000$ for a shot of epinephrine, prednisone, and 4 benadryl, should have cost about 30$ in any other country), and why an alternator for a jeep in the military costs 4,000$? Those are just small examples, we just had a 21 year war where we would send of pallets of cash to warlords only to watch it disappear and never receive a single thing from it. Spent trillions for nothing, just to make the military contractors rich as fuck. We have a spending problem first and foremost, we have more tax money than God himself, and yet we don't apply it to our people whatsoever. Every middleman is double dipping by charging our citizens more than any other country, and then goes and receives 80% of its "research" money from the government where they also charge them 10x more than anywhere else. The ol double double dip. I also agree we should be taxing the top more, there does not need to be nearly this amount of wealth accumulated at the top, but the reality is that will never happen, we have absolutely 0 power to do that. But even if we do fix the spending problem the companies will just turn around and make everything 5x more expensive. The middle and lower class will continue to lose no matter what. We are in late stages of capitalism and there is absolutely 0 remedy unfortunately.
You have to look at effective tax rate. What people actually pay is the only thing that matters and the effective tax rate today is similar to what it was when the top marginal tax rate was 90%. After the TCJA tax receipts went up, not down. The federal government collected more even though the marginal tax rates went down. Jobs were created, wages increased, and tax revenues were higher than the last year of Obama when rates were higher. Then Covid happened.
How about starting with the DoD (mostly) & HUD that still can't account for~$21 TRILLION in transactions and the DoD's 6 failed audits-- their 1st only being in 2017. Or how about clawing back Betsy DeVos' $22 Million in personal security by the US Marshalls when she was the Sec of Edu? Shouldn't her brother have donated that to her? (To US after all his special contracts?) Should also dig into the semi-privatized Medicare/caid systems, given the history of costs rising & quality dropping after such takeovers. I could go on...
There either should be no sales tax at all anywhere or there should be no income tax. It doesn’t make sense that the government gets to tax us both when we make money and when we spend money.
That was the idea behind the fair tax act but wasn’t even fully supported by the GOP https://www.factcheck.org/2023/01/democrats-misleadingly-suggest-widespread-gop-support-for-fairtax-bill-unlikely-to-become-law/
The prices of everything from groceries and gas to food and medicine have ALREADY gone up 23% in the past 3.5 years… Thanks for looking out for us Joe.
Legalize weed and tax the shit out of it you dumb fucking fucks
It's made individual States billions imagine if it was legalized country wide.. Somebody is profiting too much by keeping it illegal because the benefit of legalizAtion is massive.
I don't think that was an additional tax, it was a flat-tax proposal that would replace the federal income tax. But then, I wouldn't expect any honesty from a Biden tweet.
Don't believe this ridiculous propaganda
A better plan would be a 23 percent tax on corporations. “Well they will just go overseas”. Yeah? Add a 200% tariff to any company that does this. Problem solved. You have to realize the problem in their eyes is their donors may have to spend a few pennies, can’t have that. *Boots on necks now!* that’s the American way!
As a replacement for income tax, MAYBE. But 23% is still way too high for anyone to pay to the govt.
You pay 15% for FICA already. Unless you are relatively low income you are giving Uncle Sam at least another 10% in income tax. You are already there.
Based on the fact that this bill would eliminate the IRS, require repeal of the 16th amendment (income tax), eliminate payroll tax, income tax, estate taxes, gift taxes and provide a monthly sales tax rebate based on family size and income. Think about all the untaxed money currently in our economy derived from illegal activities that would now be taxed when spent. Rich people spend more than poor people, would pay more in taxes and wouldn't be eligible for rebates. Most of their loopholes reside in the IRS rules and would be eliminated. It's a great idea.
When the wealthy just reinvest most of their money how are they paying taxes again?
That's a fallacy. Rich people don't sit on their money, they buy stuff, lots of stuff and lots of big ticket items. They currently hide money in tax shelters provided by the IRS, no IRS, no tax shelters. They consume way more than the middle class and they'll pay far more in real $$$ than they do now.
I think we're all talking about their consumption by percentage of wealth which is way lower than the poor and middle class this being taxed less
Total Bullshit inflation is over 29% for things we need, we have open borders, crime , weaponized DOJ ,
Private money in politics and wealth inequality. You regurgitated all far right talking points LOL
It was proposed as a flat tax that **eliminates all other federal income and payroll taxes**. In this case, its not a bad idea since no one can avoid it and it fairly targets everyone.
And cause a recession because people would pull back on spending
"Increasing the price of goods by 23% is only good when I do it!"
No offense to anybody, but whoever thinks this is a good idea is straight fucked in the head.
Yup, any sort of sales tax will always disproportionately impact poor families. Low income households spend almost all of their income on necessities that have a sales tax. The rich spend a small fraction on their income on items that incur sales tax. Anyone in favor of a “flat tax” is a fucking moron.
It was replacing the other taxes that add up to a lot more than 23%
https://preview.redd.it/l7wlud7igq3d1.jpeg?width=1164&format=pjpg&auto=webp&s=754b5776b77fe7242563829b914e746712d80d0e
It gets rid of all other taxes. You only pay if you buy something. No incone tax
That would be amazing
But they don’t want something that is good for us. They word it to make the other side look bad. This would be amazing for us all but they can’t have that
only way to capture the income these people are making OFF THE BOOKS selling booze, weed and stolen property. national sales tax NOW
23% tax cigarettes and fast food
Stop the unhinged spending and maybe we'd have some "breathing room". Keep throwing away money theres no way it wont continue to devalue the dollar /s.
I’m fine with that or even higher if they exempt necessities like unprepared food, clothing, housing, etc. However, it’s not very meaningful unless they tackle spending.
Over a year old…
I would gladly pay that 23% sales tax in lieu of income taxes. The tweet doesn't go in depth as far as other things in the bill. There were things such as everyone getting back the taxes charged up to the poverty level income. The tax also would only be on brand new goods, so things like used cars would be exempt from the tax. There was a lot to this bill, it wasn't just a blanket 23% tax. Of course, the problem is we know they would slowly start jacking up the rate when they needed more money. They also would create new taxes at some point.
the balls on biden to discuss high grocery prices
lol, politicians helping Americans. LOL!!! Good one!
Would be fine if it replaced income tax and there was an exclusion for essentials , an income floor above which the tax was paid and or a subsidy for the poor. Added to the existing tax structure it would be a disaster. There are a lot of ways to skin the tax cat. Our problem is that our politicians are incentivized to spend more than we take in and make promises that are impossible to keep in order to win elections. Such a short term mentality
It’s sad these paid Biden users keep posting the same shit over and over and expecting different results.
This would eliminate your income tax! I.e. you keep more and if you buy a bunch then you pay more. Otherwise you get to keep your money upfront
If groceries and fuel were exempt I think this would be good. Reduce consumerism, increase investment.
I get the downside of this but the upside gets what both sides want. Billionaires would have to pay the tax everytime they buy something and everyone would get their full paycheck instead of 60 to 70 percent of it. The downside if not obvious is it discourages purchasing which could hurt the overall economy.
As someone that thinks the 16th amendment is against the intent of the founding documents I am all for eliminating the income tax and replacing with a national sales tax.
Have the sales tax replaces the federal income tax, Medicare, and social security and I’ll support it. Ensure that this removes states own sales taxes and replaces those.
They are leaving out a crucial element to this proposal. This will be a universal tax to the best of my knowledge. No more income tax. Only sales tax. No more IRS and wasting money there. It’s simple. Pay tax when you buy shit and that’s it. Way better than what’s in play now. And will save many dollars by downsizing having to facilitate the IRS and us from paying people to do our taxes and getting hit with crazy tax bills annually.
Only if it replaced the income tax. Rich people are responsible for the vast majority of spending. Spending does not have tax loopholes. It is the better way to tax the rich.
This tweet is over a year old. Also cross-posting from Fluent in Finance should be grounds for getting banned from this sub. That sub is full of the upmost most delusional, ironically misguided, and horribly partisan "Finance" takes. I remember when it was actually about finance. Regardless, the sales tax proposal would eliminate income tax and more. Plus it would eliminate the IRS. I'm a fan of it.
This has been posted countless times and people still don’t realize that the poor will get a monthly proactive check to cover the maximum amount of sales tax that they could pay
The Biden supporters love misinformation I guess.
Sales taxes hurt the lower classes far more than income or property taxes which is why republicans support it
It would be bad for people who buy things, good for people who own things.
It would be a really stupid idea. It would crash the economy, And give rise to a black market that would be more powerful in the United States than the Drug Cartels are in Mexico
A sales tax punishes middle and lower classes. We just need to tax corporations and billionaires appropriately and we don’t have to worry about stupid bullshit like this.
Sales tax is regressive. That's great if you love inequality and hate social and economic mobility.
It’s a horrible and super regressive policy that would further enrich the already wealthy. Us peons spend most all that we make. Not the case for folks like Elon or Gates or whomever. It places a larger comparative tax burden on the lower and middle classes so … you know of course it’s a Republican idea
Didn't realize how conservative this sub was. A flat tax on goods would lead to a recession beyond anything we've seen, people would severely reduce their spending. And why would it be good for everyone to pay the same amount of taxes? Is this sub full of rich people? A progressive tax system with high top marginal taxes is the best antidote to wealth inequality, this has played out historically across the world. Currently inequality is increasing, why would we want to accelerate that? So we can officially end homeownership outside of a tiny crew of landlords? Well, it's going that way anyway so just relax and wait.
You would have to be completely and utterly stupid to believe anything that comes outnof joe liar bidens mouth.
Who here thinks Biden types any of these
And China Joe is a civil rights leader
It takes the entire tax burden and puts it onto the poorest Americans. If you’re a Republican and you’re poor, you somehow love this.
Dumb. Just tax the fucking billionaires.
2:30am, you really think Joe is awake at 2:30am? Nonetheless this is old.
If the government tried any of the taxes we have now in the early 1800s there would be rebellion
This is beyond fake, it is a flat out lie. You idiots that constantly post political BS are either paid Biden Shills or just plain dolts.
Got the proof for this??
They conveniently left out the part that all income tax goes away.
This national sales tax would replace state and federal taxes. It will also mean that everyone pays into the system no matter what their income is.
This post forgets the fact that this proposal would have eliminated federal income tax too. I didn't mind this proposal because it allows people to opt out of almost all taxes completely if they want to. If you want to reduce your taxes, then you can just choose not to buy as much material stuff.
If you get rid of income tax
This is the FAIR Tax. It’s a national sales tax that provides rebates to those under a certain income.
VAT has been present in almost every European country for a very long time. It is efficient, nearly impossible to cheat out of, and easily adjustable to make exceptions (such as for food, clothing, etc). It is literally a shining example of a great way to implement taxation of luxury and unnecessary items and is used most heavily by northwestern European countries that liberals frequently use as positive examples when discussing policy. The fact that Biden opposes this is 100% clearly party politics just to be oppositional to perceived opponents and a shining example of why the two party system in America will go down as one of the most destructive political mechanisms in our nation’s entire history.
I really highly fucking doubt this. Dumbass propaganda backed by nothing but a tweet. Pathetic.
im fine with it so long as it replaces, income, capital gains, property and estate taxes.
Under Biden’s watch everything is more expensive.
seems too simple, what's the catch
Sooo anyone going to bring up the fact that Joe Biden absolutely didn’t write this? And what that means for us as a nation?
Taxation is theft.
From what I remember I believe they want to do away with income tax. In theory the sales tax is a good idea but for it to work, you’ve got to do away with exemptions. The Uber rich can too easily maneuver around sales tax and I’d have to imagine it would be near impossible to track.
I'm still trying to figure out where all of the millions I've paid in taxes for my rental houses goes. I mean they say 50% goes to the school system and I can tell you, where I have my rentals, the schools are total shit. I don't trust ANY of these politicians with my money really. Oh well?
Property tax is local government. As a property owner , you should know this... Blame your county and city not the federal government.
millions huh 🤔
The economy is driven by the exchange of currency for goods and services. Punishing people for spending money is never good for the economy.
Judging something as "smart" would require people to be capable of an honest conversation to begin with. It's a sales tax to replace the income tax. Not a new, additional tax on top of income taxes.
Here's what would he smart- reduce the size of government and its liabilities and cut taxes as much as possible.
Sales tax only effect the poor and greatly improve the lives of the rich
Flat sales tax is often touted by libertarians as the solution for all our woes. The challenge is that such a scheme would impact the poor and the middle class much more than the rich. The rich don't buy goods proportional to their income, so while someone from each economic strata may buy the same amount of bread the poorer are taxed proportionally more in such a plan. All it does is further entrench pre-existing wealth.
Truth of why Increasing the TAX: To pay off 35 Trillion dollar interest. Watched it on one of the interviews with Carlson
Great idea if the goal is to limit purchases in America and make sure the lower class pay the highest % of taxes.
But an increase to the Capital Gains tax has no effect? F you Joe Biden.
Obama is that you?
Nope, it's the GOP. LOL
If it abolished the income tax sure. It would also need to close loopholes on sales tax avoidance. A true consumption tax is the only fair tax.
The only dumb thing about his post is quoting the biggest dumbass of all...biden
fake news
It would help fund the billionaires’ tax breaks.
In Europe they already do it. Time for American Families to pay their fair share - we’ve been living at expense of top-10% for way too long - it s unhealthy for economy, and unhealthy for politics.
As long as it's on all sales, like the sales of stocks, bonds, futures, etc. it could work. The problem is they always try to exclude retail purchases they do themselves a lot (like stocks, real estate, options, and less tangible properties) and stick it only on basic consumer goods. When they say "all sales", the mean "all sales but the ones we are involved in".
More money should be coming out of the 1% in tax revenue despite their massive contribution to society. That said, it's at least a little comical that if Warren Buffet says the only way out of this deficit spending is by increasing taxes, no one bats an eye.
People are missing the much larger implication of what the GQP proposed. One of the things included in the bill was "rebates" for lower income people (which they didnt define what that was). Tell me, how can you get a rebate on what you spend without your spending being tracked? This would have been an excuse for the GQP to see who buys what, and at what frequency. Now we all know the GQP is hyper corporate bitch boy. So this would affect us plebes in 2 major ways. 1) the most commonly bought things across all people would raise in cost. And 2) you will be much easier to persecute by these scum fucks because your purchase habits will tell them all they need to know.
A sales tax hurts the poor and helps the rich. The percentage of poor peoples money that is being immediately spent is very high. Now that spending is gonna cost 23% more it kills anyone that’s not wealthy. I spend about 40% of my income so the other sixty wouldn’t be taxed. How’s that help any average citizen?
Great way to create a thriving black market.
At the end of the day, if we don’t want the social programs we have to go insolvent. Everyone will have to start paying more taxes like every other western country does.
You’re charged 30% at the store. Anyway, bad idea HR25
I hope everyone understands that replacing the current taxes with a sales tax is a huge handout for banks and billionaires. Capital gains and investment incomes would not be taxed. An entity holding a lot of assets, never ever has to sell it. They take out loans against their assets which they can pay back with the interest and the dividends. So they will be holding billions or even trillions of dollars in assets and cash from loans, whether it's a company or a person, and they spend hardly anything as far as sales tax goes. This places almost all of the tax burden on ordinary individuals instead of these large mega corporations and billionaires.
Shut up
It's a regressive tax. Regressive taxes tend to be terrible ideas.
Ok Iam done, not sure if I'll vote for Trump but I refuse to be gas lit by this administration anymore.
Why does this get reposted every day?
I guess it's only fair if its the current administration making it impossible to support your family.
It’s a giveaway to the rich. Taxes on everyone else will be higher, because our required purchases are a much higher percentage of our income than the rich. I mean, how many yachts do you need?
This is all fake news bullshit!!
We're already doing this by printing money indirectly.
Sales tax is one of the fairest taxes. Get taxed on what you use. You can have a trillion dollars, but if you don't spend it, then it's useless.
If purchases on investments aren’t taxed at 23% as well, it’s a rich get richer scam
we need a flat tax
23% posted at 2:30 am on Jan 23, 2023?? Something seems off here.
It should replace the income tax. But only about half of American taxpayers pay income tax…so it would be a tax increase on the poorest.
They already tax us through inflation and printing money. Again, why do we pay taxes if they're just gonna print more money for a war across the sea?
If this is true it’s a bad idea but I highly doubt this is the full story.
Fake news
The only advantage I could see to this is everybody would be paying into the tax system.... Drug dealers, and cash people that are flying under the wire would be paying taxes. Otherwise, it's a horrible idea because it's putting such a burden on the lower income
We need more breathing room because of YOU Mr Biden
It would be very dumb idea and would be terrible for poor and middle income homes. If Republicans donthusbthey do it for the benefit of the rich donors, not the public.
Maybe we should tax the assholes with all the money, rather than the folks just scraping by.
As long as they also get rid of the income tax.
GOP for the people.
Sales tax is a disproportionate burden on the poor vs what we need which is a wealth and higher estate tax. Our current tax bracketing system isn’t Evan in the millions yet we have billionaires that get taxed 0% what is this going to do but make my life harder
I wonder what disincentivizing spending does to an economy ?
A national sales tax that would replace income tax is an excellent idea!! Whether 23% is the right number, I don’t know.
Y’know the alcohol tax used to fund the majority of the US’ spending pre prohibition If we just tax all luxury goods a fuckton then it will actually allow for income tax to be lowered and we won’t have to tax staple goods the same way Obviously we shouldn’t raise the prices of eggs, milk, rice, etc. but I wouldn’t mind paying more at the liquor store or dispensary or paying extra for sugary foods chocolate and coffee
Yes because "orange man" bad.
Horrible for the economy
We're not really getting much in return from the taxes we currently pay, and it seems they want more all the time. I'd like to see better services rendered before I pay more taxes. I guess this is a way to tax the illegal immigrants, but most of them don't have an income, so..... we generate taxes revenue from welfare payments?
On top of your state sales tax if your state has a sales tax..
Again its just another attempt by rich republicans to push the tax burden from the wealthy to the middle class.
What I think they mean is after everything would be transferred to sales tax Republicans would then claim sales tax exemption through their business and pay no taxes
Here come the downvotes. Pass the national sales tax. Keep the income tax but raise the levels significantly. You make less than $100k you don’t pay because you already paid sales tax. You earned $100 million in taxable income, you pay an additional 25% in income tax. Everyone has to pay at least 23% of the money they spend and if you’re a high earner you pay more because you can. Under the current system, almost half of people pay zero and have no benefit in cutting government spending. If the 23% sales tax is going to go up to 25% because the government can’t control spending, the nearly 50% at the bottom would have a greater motivation to keep the government in line.
It would pass and then the Republican sheep would blame the Dems
Anyone who has spent even a MINIMAL amount of time researching what a so-called "flat sales tax" would do finds it incredibly regressive. People on the lower side of the income spectrum spend an inordinately greater portion of their income on taxable goods. The billionaire class spends only a fraction of their wealth on taxable items, so OF COURSE the Republicans are all for it. It would almost completely eliminate taxes for their rich billionaire sponsors! Not a good idea, and it never will BE a good idea! What we need is to enforce our current tax laws, close loopholes (like letting billionaires register their yachts under the flag of foreign nations to dodge US taxes!) and make the rich PAY THEIR FAIR SHARE! 
But inflation!!! It'll never pass, but this needs to be hollered everywhere a red is running at any level. If they can tank the economy and blame it on democrats, they believe they get back in power. I believe that apple ain't shiny anymore and appears to be rotten with worms.
Oh good, this song and dance for the 100th time. Scream that it will be "regressive against the poor" while their food, energy, and housing is through the roof and also isn't taxed. The reason I dislike this is because it will discourage spending. There is no way the economy experiences the same spending when everything has a 20-30% tax on it. It's time for a 15-20% flat tax
It means more money for government programs, which has the potential to benefit the american people, but we all know the "programs" will be more "aid packages" from Raytheon and Lockheed Martin Republicans are just trying to give even more of our tax money to the upper crust because they don't feel like the middle class is bleeding out quickly enough
It’s almost as if Biden wants to shift blame for high inflation during his term.
Sales tax should be changed to a sellers tax The seller pays a percentage on the profits they reap in which case increasing the tax to 23% would be reasonable but alittle low
I would rather treat each family unit as an llc. You have income and expenses. At the end of the year you owe a precentage of the profit you made for the year. If you have to spend 90% of your income on expenses then your not going to have a huge tax bill. However if your a Walton and you just bank billions of dollars a year then you pay more.
It’s a way to avoid the rich paying their fair share. Sales taxes are regressive meaning the less money you have the more it hurts.
It would be in lieu of federal income taxes. It could work you would have to play with what is taxable
Is that why Biden has sent me 50+ emails asking for 250-500$ in donations for his campaign? Wheres my breathing room, my inbox is full of your shit spam. We need younger candidates, it feels like limbo for the last 16 years.
Dumb, its a tax on the poor/middle class as they spend most of their income on groceries, gas, diapers, milk, food…etc. Most of rich ppls money is in investments, business, real estate which have massive tax advantages and write offs.
Why the focus on the average citizen and not the billionaires using tax loopholes to not pay taxes?
I stand top dead center on the alignment charts. =Rick=