Neo, res- Most of us pay attention to gross and net statements on pay stubs, or on our W-2s, or have to file on our own, and thus are aware of the end of the year bite. On the other hand, I rarely pay attention to the tax statement at the end of a sales receipt, and, in any event, it is never added up for me into a gross amount at the end of the year, so I am not so confident that awareness would improve.
Sorry Neo, I flat out disagree with this statement. I live in Washington State and many of the people I meet at work drive to Oregon in order to make a large purchase such as car, in order to avoid the 8.5% state sales tax. Those same people have barely a clue of the relationship between a W-4 and the amount of money taken out of their payroll.
These same people consider their tax refund as some sort of great savings plan. Instead of the Zero interest loan to our government it is! (in a best case scenario). Over the years I've literally counseled thousands of young people on the basics of how the system of taxation works in order for them to better utilize their limited paychecks. Ignorance is widespread! And I can't emphasize enough how the current system benefits highly educated people who have the desire and will to learn the "system" of taxation.
I agree the introduction of a NST would have to be a gradual phasing in process. And many variables would need to be factored in prior to a complete change. They are not insurmountable however, and the benefits of moving down that road far outweigh the negative implications.
Michael |
