this post was submitted on 18 May 2026
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Sales taxes are regressive. The poorest people pay way more of their income to buy things at stores. Therefore they are getting taxed a lot more than someone who saves money because they have bigger incomes
It's only regressive when framed as a tax on consumers - which is of course easier to do in a ridiculous country that allows retailers to advertise prices without all the retailer's costs included.
A properly organised VAT type tax is not regressive - it's a tax on corporations that buy product for cents and then sell them on for dollars, pocketing the difference. I've no idea why sales taxes bring out this "but won't somebody think of the corporations!" handwringing.
That actually makes sense, thank you