More Consumers Are Ditching Online Shopping For Physical Retailers

There's no incentive for people to pay that tax unless there's some kind of enforcement, which there isn't. The majority of people don't pay it, so they'd have to basically prosecute every citizen in their state. That's why they're pushing for the vendors to collect the taxes. It's only feasible to do it at the source. So while you may be correct from a purely legal standpoint, the reality of the situation is that there is certainly a tax incentive because there's no enforcement.

If you want another comparison... look at immigration policy. The Federal Government isn't enforcing immigration law, so that's a huge incentive for people to enter the country illegally. If the border was militarized and turned into the equivalent of the Berlin Wall, then the incentive would dry up. It all comes down to what people know they can get away with.

Would be better to ditch all these various taxes and fees all together.

Simplify everything. Have only one tax based on a highly progressive income tax at the federal level.

Then states and municipalities choose how much revenue they need by charging a fixed percentage of that federal progressive income tax from their residents.

Gone is the confusing mess, the need for tax accountant, the 57 different types of taxation, and the loop holes for the super wealthy to get a comparatively free ride.
 
Zarathustra[H];1041182576 said:
Would be better to ditch all these various taxes and fees all together.

Simplify everything. Have only one tax based on a highly progressive income tax at the federal level.

Then states and municipalities choose how much revenue they need by charging a fixed percentage of that federal progressive income tax from their residents.

Gone is the confusing mess, the need for tax accountant, the 57 different types of taxation, and the loop holes for the super wealthy to get a comparatively free ride.

I agree on the need for simplification. I don't agree with excessively progressive taxes though. I know the ultra-wealthy tend to be unpopular - haves vs have-nots and all - but being wealthy in and of itself shouldn't be treated like a crime. From a more practical standpoint, it also puts too heavy a dependency on the ultra-rich to provide tax revenue. A pyramid is strongest at its base, not its peak. Remove a few ultra-rich and you severely impact revenue. That's not a stable system.

The tax base should rely most on lower middle class to middle class income. There should be a poverty threshold that is untaxed, above which taxes are added in at a gradual percentage, that percentage to be calculated based on a realistic income vs cost of living estimation. Higher incomes would pay a slightly higher percentage, but not excessively. It would be a fairly shallow curve. Remove the system of deductions which creates loopholes and keep the percentage low enough to allow for economic growth to generate revenue as opposed to higher tax rates. That would keep the wealthier people from paying less taxes than someone in the < $100,000 range, and stop people in the $40,000 range from being severely penalized by making just a little more money because of the loss of certain deductions.

One thing I would change is the way the State and Federal taxes interact. I think it should be reversed. I think the States should collect the taxes, and the Federal government receive a percentage from each State, and let the States have more direct control over functions within those states that are currently overseen by the Federal government. That would give the States more control and help reign in the Federal Government, which is more in line with how the founders wanted things run.

Of course... all of this discussion is moot unless someone finds a way to convince the politicians to actually do it. I can't think of any way myself short of divine intervention or some method that would end up putting the proponent of said method on some kind of watch list. :(
 
The main problem with excessively progressive income tax is that wealth != income. A redistribution of wealth requires more than just that.

Anyways i don't mind a lot of wealth i just have a distrain for trustfunds and setting people up who didn't work for their wealth to acquire your wealth upon your death. It's a rare minority that shouldn't exist. In general i dislike forms of nepotism.
 
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