Taxing consumption versus taxing earnings?

Discussion in 'Politics' started by manifold, Feb 29, 2012.

  1. manifold
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    manifold Diamond Member

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    At present, both consumption and earnings are subject to taxation (in most cases). And as both are structured presently, consumption taxes are regressive and earnings taxes are progressive.

    Which method of taxation do you think is better/fairer and why?
     
  2. Oddball
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    Oddball BANNED Supporting Member

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    The fairest are user fees...Fuel taxes and hunting/fishing licenses, for example.
     
  3. chikenwing
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    chikenwing Guest

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    There are time when I think a national sales tax could be a good change,like everything in this world it comes with a cost not yet seen,could it be less fair to the poor?? would it stifle spending?? But on the flip side,you have more control on the tax you pay,most would save more,and we would be hitting the criminals for some action they presently don't pay. But then what about the budding black market??

    I lean more to a flat tax,and some serious spending restraint.

    Or just start with some serious spending restrain get our house in order then experiment.
     
  4. manifold
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    manifold Diamond Member

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    Why is that fairer?

    Bear in mind that this form of taxation is extremely regressive.
     
  5. WillowTree
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    WillowTree Diamond Member

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    Fair flat tax. No exemptions, no excuses, no exceptions.
     
  6. chikenwing
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    chikenwing Guest

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    They don't broaden the base much,but then people that don't fish,don't help support the ones that do.

    Don't think we will ever have a tax thats completely fair to everyone.
     
  7. manifold
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    manifold Diamond Member

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    On earnings, with no distinction between wages and capital gains?

    If so, I could be on board with that, if it were to replace all consumption taxes.
     
  8. Rocko
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    Rocko Gold Member

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    Everyone would have some skin in the game and it's a better revenue generating system.


    edit: to replace income taxes.
     
    Last edited: Feb 29, 2012
  9. occupied
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    occupied Gold Member

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    Wow, a real topic that asks a good question. Are you lost?

    State tax systems are terribly regressive, if the bottom pay no federal tax they damned sure foot the bills for the states.

    http://www.itepnet.org/whopays3.pdf

    My own state, Alabama, comes in near the top for it's very low top rate and heavy consumption taxes.
     
  10. manifold
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    manifold Diamond Member

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    So you're saying a system that only taxes consumption would be best?
     

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