What is your opinion regarding the VAT?‚Äč

Economics
Tutor: None Selected Time limit: 1 Day

Because of the 14 trillion dollar national debt, President Obama in 2010 has suggested that the VAT (Value-Added Tax) would be way to collect more money to finance the federal government. What is your opinion regarding the VAT?

Apr 9th, 2015

I think it's a terrible idea because it's like an additional tax on people every time they buy something. People already get taxed a lot whenever they buy an expensive item, like a TV set or a car. With the Value Added Tax (VAT) people would have to pay not only the applicable state tax, which varies from state to state, but on top of that they would have to pay the VAT which the manufacturer pay when it purchases supplies to build the product. It may be a good idea for the government to do it because they would collect more money from the citizens, but in the long run it's a terrible idea because people will stop buying expensive products and drive the entire economy down. Extra taxes hurt the middle class the most because they are already struggling to make ends meet. They don't need any more taxes.

Apr 9th, 2015

Thank you 

Apr 9th, 2015

You're welcome :)

Apr 9th, 2015

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