Archive for May 5th, 2011

VMT, VAT What’s In A Name

May 5, 2011

VAT, the value added tax is really a stupid idea. It has no merit and will do one thing, make American made goods and services cost the consumer more. The additional tax money will go down the giant toilet known as the federal gubmint.

How does the VAT work? Simple, at every stage of production a small tax is added to reflect the value of that particular piece of the overall product. An example would be a car seat. When the cow is raised there would be a tax. When the cow is slaughtered there would be a tax. When the leather is tanned there would be a tax. When the pattern is cut there would be a tax. When the pieces of the pattern are sown together there would be a tax. When the cover is fitted to the seat frame there would be a tax. Are you getting the picture?

What is the VMT? This is an idea that makes the VAT look pretty smart. I had been looking for this for quite a while now, and I couldn’t remember the name of it. A tip of the hat to Rush Limbaugh for bringing it to my attention today. Here‘s a short piece about it, and here‘s an actual copy of one of the drafts of a law that includes it. The IHAC (I Hate America Club) has been kicking this one around for decades and they seem to think they might have a chance at getting it by this administration. I’ve got news for them.

Anyway, here’s the crux of the matter. Chairman Zero (Obama) would have you, the American citizen, pay some inflated BS price to have some electronic POS (piece of sh..) installed on your vehicle. This POS would then record how many miles you drive. At some point after that, let’s say when you plug-in to recharge your battery (Oh. Yeah. You smug slugs with the electric crap will be paying this as well. Did I forget to mention that?) or when you get fuel at the pump, the POS will download all this data to the gubmint and you will probably be electronically transferring funds to them at that time to cover your “taxes”.

Nice huh? Are we beginning to see what the “beast” might be? I’m not worried about this because I have just started a business that is sure to be a huge success. No, I’m not teaching people how to beat the POS, I’m teaching them how to syphon fuel. Until next time, screw environmentalists.