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Old 09-13-2008, 01:19 PM  
NickPapageorgio
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Join Date: Apr 2004
Location: NC
Posts: 8,323
Actually, if you think like this:

John Q. Worker is a low class worker. He makes $250 per week before taxes. After the IRS has taken their share, John is roughly down to $167.50 (- the 33% he's paid to the IRS). Now John goes to the grocery store and spends $100 on groceries. Let's say he lives where the sales tax now is 9%, after paying $109 for his groceries he's down to $58.50 to live on for the rest of the week.

Now...

Same guy, but no IRS. He brough home $250 and was taxes zero dollars. He goes to the grocery store and buys his $100 worth of groceries and he's charged the SAME amount of tax on it as he would have been charged on his paycheck. (42%) Which is a crazy sales tax to most people. After paying the $142 for his groceries, he's left with $108 for the next week.
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