unofan
Well-known member
So it's regressive based upon comparative relativity between two systems? That does not constitute a regressive tax system. You said that 9-9-9, in and of itself, is, and I quote, "a regressive as all hell plan". Would you like to clarify your original statement, or would you like to stand by it? If the latter is the case, then please explain how you believe that 9-9-9 is, in and of itself, a regressive tax.
Regarding your comments regarding sales tax, you're not really changing much in terms of pricing schema, just to whom the money goes. Let's assume, for the sake of argument, that a gallon of milk is $2.00 when you include all taxes (BTW, in NYS, that's zero, but that's beside the point), regardless of plan. Some of the money that goes to the producers goes happens to go to a different government. You and I know that neither this hypothetical situation, nor yours where the bottom line price will increase by 18 cents while all other factors remain the same, will happen; there will be some variable change between the two. However, it seems to me that you are saying that sales tax is regressive. Would you please explain how this is case, or if my assumption is incorrect, please explain the type of system sales tax is, and your reasoning behind it?
Sales taxes are regressive. In fact, they are literally the textbook examples of regressive taxation. A poor person must spend the majority of their money on necessities. Rich people can choose to forego luxuries, and the ultra rich would find it difficult to spend their annual incomes.
Since poor people spend proportionatly more of their income, sales taxes are effectively hitting them the hardest.