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Tax Nightmare: A National Sales Tax may be Coming

Written By Brian Hicks

Posted October 5, 2009

President Obama, who wants to stimulate consumer spending and revive the economy, may consider a consumption tax with a national sales tax…

That’s absolutely brilliant…

It should do wonders for his approval ratings if he takes it seriously… not to mention how well it’ll impact our wallets.

This Wednesday the Center for American Progress, led by John Podesta (an Obama adviser), will recommend that:

The Administration should consider a tax on consumption, such as a value-added tax [VAT] system similar to that in use in the European Union. Mr. Podesta suggested that its impact should be limited to protect lower-income people, who otherwise might be hit particularly hard.

With the federal budget deficit ballooning, the Obama administration and congressional leaders could look to tax-code changes to generate more revenues for the government.

But hey, as long as it stimulates the economy and consumer spending… oh wait.