Monday, October 20, 2014

Tax Avoidence

As taxes get more onerous, people will do what they have to avoid them.  In Germany it looks like this.
VAT taxes are absurd and they add really more than 20% to the cost of everything between the tax and administration. A larger portion of the remaining disposable income is consumed by food, everything else many are starting to turn to used merchandise. Why? No more taxes than necessary. There is a rising trend in Germany to buy and sell used goods to avoid taxes. Since the goods are not “manufactured” there is no chain of production for the VAT system to oppress.
Powell's bookstore in Portland introduced used books alongside new books 40 years ago. I think we can see retailers begin to sell inexpensive used everything alongside the new.  The problem is the hegemon through its banks will see what is happening through the cash register and bank funds flow, and crush small business in favor of Ikea, WalMart, etc.

Then there will another innovation.  There never was a time in history, well, there are some rare exceptions,  in which people we not oppressed by a hegemon.  Today is usual, normal, typical.

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