The 2012 GOP Platform has been officially released and you may be surprised to find the Republicans in agreement with the Democrats that the time has come to implement a Value-Added Tax (VAT) scheme in the United States. From the platform-
In any restructuring of federal taxation, to guard against hypertaxation of the American people, any value added tax or national sales tax must be tied to the simultaneous repeal of the Sixteenth Amendment, which established the federal income tax.
Once thought to be politically unfeasible, the repeal of the Sixteenth Amendment may be in play should Mitt Romney win election. Seems that both sides have seen the light that the VAT is the way to go to raise tax revenue just as the European model has illustrated for decades. It’s taken until now for both sides to see a way to sell it to the American people. Fairness is the motto here. It’s a winner for both sides to lay claim to and still stay on message. The left can use it in their class warfare verbage and the right can use it along the lines of their unfair income tax motto. It takes just the right mix to pull this off and America seems primed to buy into the sales pitch from both sides and see it as an opportunity to screw the other guys.
America will rue the day if this gets done. It will start out rather innocuously enough. It will have to if it is to garner the political capital required to sell repealing the Sixteenth Amendment. It will be easy enough to follow the Euro’s and systematically raise rates down the road as the public will be powerless to stop it. Make no mistake, the VAT is fully intended to increase government revenue across the board. You’ll just feel better about it when your brethren are getting equally stiffed.
It certainly won’t end with the VAT. A national sales tax will come. An internet sales tax is already coming soon. The point is that it will be much easier to lay and then increase taxes without as much transparency as we have now with the income tax. The VAT is both regressive and a consumption tax so it will cover all income classes. It’s already in place in over 100 countries worldwide and has a track record of destruction that is unmatched. The worst part? Americans will embrace it as a way to be fair. You’ll ask for the shellacking that lies in wait for you.