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That's why basic, necessary goods are not taxed, only luxury items. We have a GST in Australia and poor people effectively do not pay any tax on purchases.
by thret 6y ago
That's why basic, necessary goods are not taxed, only luxury items. We have a GST in Australia and poor people effectively do not pay any tax on purchases.
- freedomben 6y agoMost sales tax proposals I've seen will exempt food and other "necessities" for exactly this reason. With how complex income taxes are, I'd love to get a serious discussion going about a sales ax replacing it.
- devdas 6y agoOr a wealth tax.
- thebean11 6y agoThe definition of basic, necessary goods is extremely narrow in the US. Poor people still pay plenty of sales tax.
- Splendor 6y agoUnfortunately that's not the case everywhere. I live in a state in the US where even groceries have sales tax.