Value-Added Tax: A Non-Tax Tax Increase
- Details
- Created on Thursday, 08 October 2009 21:52
One President Obama's many campaign promises was that he wouldn't raise taxes on the middle class. So how can he get around this? A value-added tax (VAT) of course! A VAT is a tax on manufacturers at each stage of production on the amount of value an additional producer adds to a product. It's the perfect non-tax tax increase. The problem, of course, are the huge costs that will be passed on to consumers and businesses. The VAT is, arguably, a way to raise money for government, but will put American's out of jobs and won't raise money.