Posted by
L Gravel on Sunday, February 11, 2007 11:45:31 PM
Ever wonder why you pay separate sales tax, income tax, payroll tax,
property tax and gas tax? Among other reasons, if you were levied
the full amount of what you pay through one means, your tax would
appear a whole lot bigger. In fact, it would appear to be as big
as it actually is.
Likewise, ever wonder why when an automobile is manufactured and sold
in this country, the employees, the investors and the consumers are all
taxed separately? Among other things, the answer is the same as
above. All three taxes are built in to the price of the car, but
the consumer only sees the sales tax.
Therefore, a logical precursor to lowering taxes is to make them
visible. Reform-minded legislators could do this. So could
employers, if they had the guts.
A simple example is gas stations: they could easily post signs
reminding their customers of the federal and state gas taxes their
customers are effectively paying.
A more complex example: a company could add up all the taxes for the
year that it pays -- employer's portion of social security tax,
property tax (including on leased property), corporate income tax, and
even regulatory costs if known. Divide the total by the number of
employees. Send out an email every year and say, "FYI, this is
how much $$$ the company paid in taxes per employee last year."
The implication of course, is the more money the company pays in taxes,
the less is available for wages.
In fact, I once pitched the latter idea to a company I worked
for. The Director of Communications looked at me like I was
crazy. Sometimes I think if businesses won't even tell their own
employees or customers what the government is doing to them, then they
deserve to be taxed and regulated into oblivion.