Quote:
Originally Posted by Egg
In a recession, sales taxes should if common sense prevails, go down. The less some thing costs, the more willing people are to spare some of their budget in order to purchase it.
Make this tax go too high, and people will stop buying what ever you just raised the tax on. So in short, instead of having the 15% sales tax and the item being sold, the retailer is left holding an unsold item and the tax man recieves 0% of fresh all nothing because he taxed it out of peoples reach.
Fools, or, they are very wise. Think about it.
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Exactly,
at minute 7:20 of this video series (Part 1) Rand Paul (son of Ron Paul) comments on that exactly. When you reduce tax rates, revenue usually goes up.
Dr. Rand Paul spoke 4/7/2009 at WKU on what it truly means to believe in limited government.
Video posted 4/8/2009: http://www.campaignforliberty.com/bl...cpg=1#comments
Looks like my state is planning on raising the sales tax 1% on existing taxable items, not to mention the other items they intend on taxing.