Value Added Tax. Doesn’t sound like such a bad thing does it? The Value Added Tax (VAT Tax) is what experts have been telling us is coming. And they were right. Imagine!
How Will We Pay For Health Care Reform?
From the mouth of Nancy Pelosi, who said that the VAT Tax is something that is fair to look at as part of an overhaul of the nation’s tax code. She went on to state “Somewhere along the way, a value-added tax plays into this.”
Tricky!
Translation please!
Bob Schieffer, in a Face the Nation interview with President Barack Obama asked if the promise of “no additional tax on people making less than $250,000 a year, no payroll tax and no capital gains.”
To that Obama replied. “I can still keep that promise, about two thirds of what we’ve proposed would be from money that’s already in the health care system and just being spent badly.” And the other one third for health care reform?
Well, that’s not true. A VAT is a National Sales Tax that is paid over and above State Sales Tax. So, if you’re used to paying an 8.5% sales tax, you pay it. Then, if the VAT is say… 5%, you pay that too. So now you are paying 13.5% in taxes.
VAT Targets People With Low To Middle Incomes
People with lower to middle incomes typically can’t afford to buy things in quantity. They buy when they have the money – that is, more often. Steve Moore , an economist and writer for the Wall Street Journal says that one-half of these new taxes will be paid by low to middle income Americans. He goes on to state that VAT is a European type tax and VAT is always present in countries with Social Welfare.
- 67% Frown On National Sales Tax (uh-oh)
{ 3 trackbacks }
{ 0 comments… add one now }