Amusing story in the Democrat-Gazette this morning. It is unfair, Dr. No Boozman says, for Sen. Blanche Lincoln to run ads criticizing his support of a 23 percent national sales tax. Sure he's signed on as a sponsor of that legislation, but there's much hemming and hawing by Boozman to dissemble about it. Simple, he's for it. Or something worse.
Here's the thing. That so-called "fair tax" is even worse than Lincoln depicts it. It's actually not a 23 percent sales tax, it's a 30 percent sales tax as we customarily compute sales taxes.
In Arkansas, if an item costs a dollar, we add 6 percent state sales tax for a total of $1.06 (or $1,200 on a $20,000 car.)
Under the "fair tax," the law specifies payment of 23 cents out of every $1 spent. Thus, the tax is $23 for every $100 spent or about 30 percent of the value of the item ($4,600 on the $20,000 you'd have to pay to buy a $15,400 car.)
The fair tax would cripple poor and middle class people. Help the wealthy? You know it. Big time.
A reader's suggested line for a Lincoln ad about Boozman's I'm-for-it-but-maybe-not defense:
John Boozman's either a liar or a moron.