Take a look at the current European tax rates below which range from 59.6% to 83%. The European VAT tax (Government Sales Tax) ranges from 16% to 25%. The US has no VAT tax, but the States have their sales tax or their own VAT tax.
Don’t think this European tax nightmare can happen in the US? It already is.
With the current Obama and liberal congress spending binge in process, the only way to pay for this increased spending and federal debt will be to instigate a National VAT tax.
What we propose is the 100% elimination of the income tax and the implementation of a national flat tax or VAT tax of approximately 16% to 17% which would completely replace the income tax.
- The cost to maintain this would be nil
- The Internal Revenue Service could be eliminated
- Billions spent on computation of income tax returns would be completely eliminated
- The elimination of the income tax would stimulate enormous economic development and job creation
- The tax system would finally be fair. The lower the consumer spending the lower the tax. The higher the consume spending, the higher the tax.
- The rich would consume more and pay more taxes. Those less well off would consume less and pay a lower tax.
- The promotion of class warfare by the progressives would be reduced if not eliminated.
- Everyone would pay some tax. Currently 47% of the people pay zero tax and actually receive money from the government; and the top 10% of earners pay 71% of the taxes; and the top 25% of earners pay 87% of federal taxes.
- Is it any wonder there are not jobs. Those that create economic growth and jobs have no money left over after paying taxes to create new jobs. Did anyone ever get hired by a poor person?
- This would make EVERYONE concerned about keeping government spending in check so their taxes would not go up.
Current European tax rates:
Income Tax: 50%
VAT: 17.5% TOTAL: 67.5%
Income Tax: 45%
VAT: 19% TOTAL: 64%
Income Tax: 40%
VAT: 19.6% TOTAL: 59.6%
Income Tax: 40%
VAT: 25% TOTAL: 65%
Income Tax: 45%
VAT: 16% TOTAL: 61%
Income Tax: 42%
VAT: 20% TOTAL: 62%
Income Tax: 55%
VAT: 25% TOTAL: 80%
Income Tax: 54.3%
VAT: 25% TOTAL: 79.3%
Income Tax: 52%
VAT: 19% TOTAL: 71%
Income Tax: 58%
VAT: 25% TOTAL: 83%
Income Tax: 53%
VAT: 22% TOTAL: 75%
If you’ve started to wonder what the real costs of “socialism” are going to be, once the full program in these United States hits your wallet, take a look at the table. As you digest these mind-boggling figures, keep in mind that in spite of these astronomical tax rates, these countries are still not financing their social welfare programs exclusively from tax revenues! They are deeply mired in public debt of gargantuan proportions. Greece has reached the point where its debt is so huge it is in imminent danger of defaulting. That is the reason the European economic community has intervened to bail them out. If you’re following the financial news, you know Spain and Portugal are right behind Greece .
The United States is now heading right down the same path. The “VAT” tax in the table is the national sales tax Europeans pay. Stay tuned because that is exactly what you can expect to see the administration proposing after the fall elections. The initial percentage in the United States isn’t going to be anywhere near the outrageous numbers you now see in Europe. Guess what, the current outrageous numbers in Europe didn’t start out as outrageous either. They started out as miniscule—right around the 1% or 2% where they will start out in the United States. Magically however, they ran up over the years to where they are now. Expect the same thing here.
It’s time to rethink the ‘American Dream’ idea: It is the notion that with hard work and perseverance, anybody can get ahead economically here. Do you think that can ever happen with tax rates between 60% and 80%? Think again. With the government taking that percentage of your money, your life will be exactly like life in Europe . You will never be able to buy a home. You will never buy a car. You will never send your children to college. Let’s not shuffle the battle cry of the socialists under the rug either. It’s always the same cry. “Equalize” income. “Spread the wealth” to the “poor” (whoever they are). “Level” the economic playing field. Accomplish that and everything will be rosy.
It’s time to take a really hard look at reality. Greece is a perfect example. Despite the “socialism” system that has ruled this country for decades, with a 65% tax rate, they are drowning in public debt, would have defaulted without hundreds of billions in bailout money, and still… 20% of their population lives in “poverty.” What has all that “socialism” money bought, besides ultimate power for the politicians running the show? Do you think these people are “free”? They’re not. They are slaves to their economic “system.”
People, we are at a tipping point in America . We all know it. Turn this around right now or your grandchildren will be massing in the streets of this once-great country, just as the people of Greece now are. Economic slavery is slavery, just the same. Carefully and deeply consider what it takes to throw off the yoke of slavery, once it takes hold and settles over your neck.