Could We Seriously Get the VAT?
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We all know our nation has spent a bundle trying to stimulate the economy again. It’s been suggested that there’s only one way out of this debt mess now — the value added tax.
Better known as the VAT, the value-added tax is charged on retail goods and services. It’s essentially a national sales tax that goes on top of state and local taxes charged. The , which is typically steeper than sales tax here in the U.S. — in Britain, for instance, it’s 17.5 percent.
Rumblings about the VAT began months ago, with some observers insisting a because it’s the only tax-funnel big enough to address our debt and help fund healthcare reform. Earlier this month, former Federal Reserve chairman Paul Volcker brought the subject up at a New York Historical Society meeting, saying the VAT as a serious option.
President Barack Obama kept the VAT rumor going this week in a CNBC interview. When asked about the VAT, our chief executive . He noted it would be novel for the U.S….but also that it “has worked for some countries.”
The road to a VAT would certainly be a contentious one, as the VAT would essentially raise prices on just about everything. Do you think a VAT is likely? How would the VAT impact your business? Let’s continue the VAT chat in the comments.
We all know our nation has spent a bundle trying to stimulate the economy again. It’s been suggested that there’s only one way out of this debt mess now — the value added tax.
Better known as the VAT, the value-added tax is charged on retail goods and services. It’s essentially a national sales tax that goes on top of state and local taxes charged. The , which is typically steeper than sales tax here in the U.S. — in Britain, for instance, it’s 17.5 percent.
Rumblings about the VAT began months ago, with some observers insisting a because it’s the only tax-funnel big enough to address our debt and help fund healthcare reform. Earlier this month, former Federal Reserve chairman Paul Volcker brought the subject up at a New York Historical Society meeting, saying the VAT as a serious option.
President Barack Obama kept the VAT rumor going this week in a CNBC interview. When asked about the VAT, our chief executive . He noted it would be novel for the U.S….but also that it “has worked for some countries.”
The road to a VAT would certainly be a contentious one, as the VAT would essentially raise prices on just about everything. Do you think a VAT is likely? How would the VAT impact your business? Let’s continue the VAT chat in the comments.
