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We don't have sales tax here in Montana either, but I'm not sure how "smart" it is, since it basically means richer people pay less and less rich people pay mor
by dboreham 3y ago
We don't have sales tax here in Montana either, but I'm not sure how "smart" it is, since it basically means richer people pay less and less rich people pay more.
- rootusrootus 3y agoGenerally it's the other way around -- sales tax is strongly regressive. In fact, Oregon is usually just about the least regressive tax state in the US, and Washington is just about the most regressive. All because of sales tax vs progressive income tax.
- jwagenet 3y agoI understand sales tax is in theory regressive, but this seems wrong/naive upon scrutiny because you would assume higher earners consume more than low earners, thus contribute more sales tax in absolute terms, if not quite in relative terms.