Good Idea or Bad Idea?

Discussion in 'Lawn Mowing' started by tiedeman, Dec 17, 2004.

  1. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    http://www.foxnews.com/story/0,2933,131693,00.html

    I broke it down for me, and I would actually save money, for example I would save approx $2,100 for the year compared to paying in the 15.3%. But of course I don't know if this would apply to small businesses though.
     
  2. 65hoss

    65hoss LawnSite Fanatic
    Posts: 6,360

    In my accounting classes in college we did research on National sales tax and a flat rate sales tax. These have been discussed for many years now. I really don't see them ever getting the balls to do either of these.
     
  3. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    Unless you make about $300,000 a year it is an idiotic plan. Look at what owning your onw home does for you as far as income taxes, or business use of the home. And we will still be paying fees, licenses, truck plates, ect that we can take off our taxes now.
     
  4. tiedeman

    tiedeman LawnSite Fanatic
    from earth
    Posts: 8,745

    I do admit that it would be hard when you go shopping (a $50 item would now be $60+ with the taxes included) and I feel that it would decrease the amount of people spending money. I lived in Canada for a little over a year and if I remember correctly they had 3 sets of taxes in Ontario and two in Alberta. The refund checks (GST) that my wife received every quarter was really nice I though.

    The upside of it is that you don't ever have to worry about payroll and the horrid April 15th date. The IRS would dissolve possibly saving the government some money.
     
  5. J&R

    J&R LawnSite Senior Member
    Posts: 835

    National sale tax would do. Stop the LCO that don't file tax or the drug dealer that pays no tax. It would stop the under the table money.
     
  6. out4now

    out4now LawnSite Bronze Member
    from AZ
    Posts: 1,796

    A consumption tax would stop a lot of that. Sooner or latter you'd have to buy stuff that was taxed. For many items there would be used stuff that would fly under the radar but eventually that well would dry up as the increased demand for those items would raise price levels in used items to rates where people wouldn't be saving that much and would therfore just pay the taxes for new stuff.
     
  7. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    Not a chance in hell of that. Who is going to collect the sales tax, and enforce it being paid. On the bright side, if you read bobby's thread about the plumber giving a discount for cash, it may be a bigger discount. Or are the politicians trying to make us beleive that services wont be taxed? Maybe not right away but down the road they will.
     
  8. Norm Al

    Norm Al LawnSite Bronze Member
    Posts: 1,227

    tiedeman you would save a lot more than that amount,,,,,,you would save a ton in accounting costs and millions in lost sleep worrying about how much they are going to pound you for or worrying about getting audited!
     
  9. Norm Al

    Norm Al LawnSite Bronze Member
    Posts: 1,227

    lawnscott the sales tax collectors are already in place and are used to collecting it!
     
  10. lawnman_scott

    lawnman_scott LawnSite Fanatic
    Posts: 7,547

    How many federal sales tax collectors are there, and what are they doing now? And even if they give it a different name, it will still be the same as the IRS.
     

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