Get Ready For A National Sales Tax.... It coming!

[Warph]

In a recession, government receipts decline.  And then you have this: an idiot of a President that signs into law a Health Care Bill that the American people don't want and will probably bankrupt the country in the long run.  Trying to find revenues to support the HC program is going to become increasingly more difficult as time goes by, so Obama's policy makers will have to look to alternative forms of revenue and the number one choice will be a National Sales Tax.  Now, if this is adopted, it would have both positive and negative effects that must be carefully considered.  Lets face it, they need the money to pull this thing off, so get ready.

National Sales Tax:
Function
At its core, a national sales tax would levy taxes on consumer items. Although legislators would ultimately decide what items would be included, most proposals of a national sales tax exclude necessities such as food, clothing and housing.

Theory
Proponents of a national sales tax argue that it would be relatively fair; that is, consumers choose to purchase products in excess of necessities, therefore consumers would be making a rational decision to pay the tax. A national sales tax might replace the current, relatively complex income tax system.

Benefits
The obvious pros of a national sales tax include a new government revenue stream and simplicity. New tax receipts could help fund national programs or agencies or help to repair bridges and roads, for example. Consumers already buy products, so implementing a national sales tax would not place reporting burdens on individual taxpayers.

Cons
Opponents of a national sales tax question the burden it would place on retailers, who would be required to collect and report the tax. Another con is the regressive nature of a national sales tax because the poor would potentially pay a much higher percentage of their income in taxes.

Conclusions
Any pros and cons of a national sales tax must ultimately be considered around actual proposed legislation. If, for instance, the tax included certain items of clothing not deemed necessities, then the possibility of increased revenues must be reexamined against any potential for regression.

Charles Krauthammer on the National Sales Tax:

[Diane Amberg]

In this case I suspect this will happen unless the wars can be shut done and those huge amounts of money shifted back home.

[Warph]

In this case I suspect this will happen unless the wars can be shut done and those huge amounts of money shifted back home.

They ain't shutting down the wars, Diane.  Believe me, it is coming!