Income Taxes vs. Consumption Taxes
... them only our revenue is taken from us. Converting to a (Flat) Consumption tax would be the only correct means of taxation that would make sense to employ and help equal “ The Playing Field,” and allow the citizens of the United States to distribute their money that they earn the way they choose. For instance, if everyone had to pay a (Flat) Consumption tax the people who have large incomes would have to pay their fair share of taxes, that would be compared to everyone else’s. A perfect example for the given fact would be, lets say you make two hundred thousand dollars a year, your ability to spend more money revolves into a greater percentage than a person who only earns sixty thousand dollars a year. That would be the result in that case because, you would have the choice to spend more money and with that consequence you would end up having to pay a high (Flat) Consumption tax, opposed to someone who would have to learn to be more conservative with their money and only spending it on their essential needs they have for their standards of living. Another reason would be, that the people who are in this country illegally but still hold a job and get paid cash would be paying a (Flat) Consumption tax as well when they spend their money in this country. That would be shown by, Juan, who mows grass for a landscaping business and makes two hundred dollars a week. When he goes to the grocery store to buy his groceries he now would have to pay a (Flat) Consumption tax with the money he earned while here in this country and help generate revenue even if he is illegal. One more positive from revolutionizing from an Income tax to a (Flat) Consumption tax would be the fact that it would do away with almost all the confusing tax laws that are in existence now. For example, it would take away the confusion from when you would need to know what would be considered a tax right off or not. Also include, that the (Flat) Consumption tax removes the tax shelters of the rich industries of the country. This would mean that the corporations like State Farm, Farmers, and other wealthy corporations would be required to pay more than the 2 percent or less than they are presently paying. Of course, the argument that Income tax has been used for decades and that the system, all though rigid, has yet to fail the country, and for those less fortunate, it more or less assist’s in some way with the financial aid that the government would provide. On the contrary, even if the government does try to help in some way by giving financial aid, that does not help the core of the American society. It just furthe...