If food is not taxed, don’t rich people come out ahead compared to the poor and middle class?
First, we need to remove ourselves from the social welfare state-of-mind of always trying to “soak the rich.” Such a mentality is what caused much of our problems about a hundred years ago and opened the floodgates to the entire income tax mess. Trying to guarantee equal results instead of equal opportunity always will create havoc and friction among the classes. Rich people are not the problem, social welfare and legal plunder are the problems. Let’s attack those problems. Second, no, a national retail sales tax does not benefit the rich. In fact, a national sales tax actually hurts the rich. Unlike the income tax, there are no tricks or avoidance schemes available. No deductible three martini lunches for business folks. People need to eat and without eating life itself cannot be sustained. There is also a reasonable limit to how much any person can eat. Nonetheless, rich people have a much higher disposable income than do poor and middle class people, therefore rich people tend to “e