Would you be down for paying taxes this way?

Question

Suppose that instead of income taxes the government taxed us on things society generally considers vices and frivolities? So, instead of collecting taxes from everyones income we put a tax on things like alcohol, cigarettes and porn? It wouldnt even have to be a very large tax, a 1 cent tax on every soda sold in the United States would bring in billions of dollars of revenue.
Also, we could tax things like yachts. Unless its your livelihood, like if you are a fisherman for a living, we put a tax on yachts. Or unless you have so many children, there will be a tax on mansions. I mean, unless you can prove you need that frivolity, you must pay a tax on it. A tax on any car that gets less than 30mpg. A tax on any jewelry that costs more than a hundred grand. That kind of thing. What do you think?

Just in case you think I'm being unfair, I smoke about a pack and a half a day, I drink every weekend and I'd kill for a sail boat. I also eat fast food from time to time, which I think we should tax the living crap out of. That would bring in some revenue in the fattest nation in the world.

Answer 1

They tax those things already.

I'm all for a huge tax on coffee though. Caffiene is considered a drug, like alcohol.....tax the heck out of it! Yes, and like you said, soda as well.

Answer 2

So if I don't drink, smoke, or look at porn. Live in a modest house, drive an economy car, and don't buy any luxury items I wouldn't have to pay any taxes. Then I could have a nice big salary and still not pay for anything like roads, education, law enforcement and emergency services. Even though I benefit from all these things.

A 1 cent tax on a can of soda would not generate billions in taxes and even if it did it would not be enough to make up for the tax revenue lost by eliminating the income tax. Who would decide what vices get taxed? Not to mention the amount of loopholes you would be opening with this system.

There are a lot of ideas for alternative taxes but this is not a good one.

Answer 3

well according to The Constitution an income tax should be unconstitutional they had to make it legal as the 16th amendment
as for taxing taxing yachts they already tried it and instead of the 73 million dollars they thought that they would get they only got 13 million.
why because the rich people went to other countries to buy a yacht and so this country lost out double in tax revenue and in the economy yacht builders could not sell as many yachts.

I am in favor of a flat tax, but if I can get that then give the rich a tax cut because they pay most of the taxes.

Answer 4

Might be a good idea.

But they tried a luxury tax in the 1990s, and guess what? All the shipmakers (yachts) lost their jobs.

So the tax would effect the people providing the goods as well as (or more than) the people buying them.

Plus, there's the issue of what people consider worthy of taxation under this scheme.

You might want to read up on the "Fair Tax," a national saled/consumption tax, that has a vaguely similar idea.

I liked this question! Someone is using her head. More of us should :)

Answer 5

Such things are already heavily taxed by Federal and State and Local tax boards. A penny a can? try about a quarter a can of pop!

Also, bringing in billions of dollars per year isn't much when you're spending trillions. But let's remember, it isn't even real money, but Federal Reserve Notes of debt. It is a bank scam to create astronomical wealth for the private banks that own the Federal Reserve (that's right, it is not part of the Government) that the founding fathers specifically warned us would destroy our freedom and eventually the country.

Answer 6

all of the things that you have mentioned are already taxed, but I can see where you are trying to get at.....If those are the only things that could be taxed verses taxes on everything that gets taxed now. I don't think it would be fair to say that only people who are rich should be taxed only because of their wealth, many of these people are wealthy from working hard, going to college and making something of themselves. Besides that, If these are the only things taxed then we would not have enough tax dollars to do the necessary things needed in life. Then also if it were something that did work out, would that be fair of those who aren't being taxed to collect it at the end of the year? Bad idea.

Answer 7

As far as that goes it would be unequal and ridiculous. I for one would not want to pay taxes this way. People work hard for their money should not have to pay for things that others would consider frivolous. My job doesn't require me to use a car except to get there and back. They should tax me for that. I don't use my computer for work they should tax me for that. My tv is frivolous I should be taxed for it.


Alcohol and cigarettes- In addition to sales tax they pay additional taxes.
Porno-sales tax
Mansions-pay a lot in terms of property taxes-not having children is a life choice and shouldn't be penalized for it.


I personally think you system is unfair. You would have some people who would be paying for all the taxes while others would have to pay very little. What would we consider vices and frivolities? What is frivolous to one person is not to another. To an extent my chap stick could be considered frivolous if you put it in the right context. Having a dishwasher could be considered frivolous. People should not be penalized just because they worked hard to make their money (by either promotion or college degree) to be punished because others can't.

Answer 8

Most of those things are taxed already-- on top of income taxes, luxury taxes, sales taxes, excise taxes, etc.

So how is a soda frivolous? Who are you to decide what is frivolous?

What defines Mansion? So if I live in a 4000 sq. foot house, I get taxed more (which I do already) than if somebody with 6 kids does on the same house? How is that fair?

Dumb idea-- not even thought out.

Answer 9

We already impose hefty taxes on tabacco and alcohol. There is a 6% sales tax here in Indiana, that includes things like Cokes and Yachts. Im not sure if there is any additional tax on porn, however.

One thing we could do is impose a minimum tax on tabacco and alohol. In Kentucky there is hardly any taxes at all on cigarretes. We could raise the taxes there on tabacco and watch the revenues go up slightly.

Answer 10

You need to tax everything equally otherwise people will change behavior to avoid tax. In the 90's we put a tax on yachts so people started buying their yachts outside the US it destroyed the industry in the US and allot of average people lost their jobs, plus they lost almost all the tax revenue. Ordinary people build mansions rich people buy them it works out well.

Answer 11

Most of the items you mentioned have luxury taxes already attached to their purchase. Most high end cars do too. Its bad enough that those with higher income already pay enough taxes you want to tax them over and over again.
I came from a very very poor family, I've worked hard for everything i own I'll be dammed if I'll be doubled taxed for items that I can afford because I've worked hard to earn them.