Quote:
Originally Posted by blankall
A major benefit of a use based tax, like sales tax, is that it catches tax cheats. A significant amount of income is earned off the books.
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I wouldn't necessarily put it that way. It changes the rules, but it's not like whatever off the book income you're talking about gets taxed through consumption taxes. Especially if that o income is used to purchase foreign assets like real estate and travel.
edit: Although a pure consumption tax certainly makes filing your taxes and enforcement a whole lot simpler.