Wednesday, August 04, 2004

Flat Tax or National Sales Tax?

Dennis Hastert, speaker of the house, appears to support a national sales tax to fix our unfair and complicated income tax.

I say "appears to support" because I think it's a ruse. The concept of a national sales tax is a political fragmentation grenade lobbed into the flat-tax camp to make sure we keep our unfair, extremely complicated and expensive income tax system.

I never heard of the idea of a national sales tax until people started talking about a flat income tax. After the idea of a flat tax was introduced and gained popularity, suddenly the idea of a national sales tax surfaced dividing the people wanting to fix our income tax mess into two camps. Divide and conquer. It was a brilliant strategy. If only the politicians could use their cleverness to actually do something for the good of America rather than just protecting their turf.

The national sales tax is a ridiculous concept and has no chance of ever passing. That was exactly what people like Dennis Hastert wanted - suggest an idea that is impossible but which might sound good to some and therefore, divide the group wanting change into smaller groups so they will have less power.

For a very brief explanation of why a national sales tax is absurd, please visit here.

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