Monday, December 29, 2008

No Sales Tax Shopping Days?

According to the Wall Street Journal, the the National Retail Federation has proposed
three periods of sales tax-free shopping that would last 10 days each in March, July and October 2009.
At first glance this sounds good, but as you read on you find that it involves more federal spending. Even an idea to suspend state sales taxes means more federal spending. What doesn't require more government spending lately? 

The proposal calls for the federal government to reimburse the states for their lost sales tax money, and also to make payments to the states that don't have sales taxes -- apparently to replace the money they would have lost if they did have them. That's how crazy this plan is. We would save taxpayers money on their shopping, but then take the tax money they supposedly saved and give it to the states anyway.  


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