Democrats Slam GOP Plan to Impose National Sales Tax - Erie News Now

News Democrats Slam GOP Plan to Impose National Sales Tax Wednesday, January 25th 2023, 4:21 PM EST WASHINGTON, D.- A handful of House republicans are proposing getting rid of federal taxes, even the IRS and instead, have a national sales tax.According to the legislation, it would get rid of things like income tax, estate and gift tax and instead, impose a national sales tax of 23 percent.They also add this national sales tax would not raise enough revenue to cover the sources of federal taxes that it would eliminate.

” “Under this sales tax if you spent one dollar on something it would face a 30 percent tax so you would owe 30 cents of tax on the one dollar you spend,” said Erica York, an economist with the Tax Foundation.A larger income household has more income, they don’t spend as much of it they have more they can save and can so by saving, they would not face this sales tax.