Posts Tagged tax

Consumption tax hike may fund recovery / 3 years at 8% would cover bulk of costs : Business : DAILY YOMIURI ONLINE (The Daily Yomiuri)

There’s a silver lining to every cloud. The Japanese government has found a sure-fire way to sell the long-desired (by some) and long-resisted (by many) consumption tax hike: “it’s for the orphans and widows of the tsunami!”

It’s also a “solidarity” tax. Just in case there is any confusion about that, it means a tax that shows everyone’s solidarity, not a tax ON solidarity.

A smart rhetorical trick: anyone against the tax hike now has to explain why they are against giving funds to widows and orphans or why they are against showing solidarity for the tsunami/earthquake victims.

For a full-blown rant on this topic, I yield the floor to Marketing Japan, who puts it all much more forcefully and informatively than I can.

The Yomiuri Shimbun

The government is considering raising the consumption tax rate from the current 5 percent to 8 percent to finance earthquake reconstruction programs, according to government sources.

If implemented, the hike to 8 percent will be limited to three years, starting in fiscal 2012 at the earliest, the sources said.

Yeah. I’ve lost count how many times the government has raised taxes then lowered them again when the target was reached. It just goes without saying. (That’s sarcasm, folks!)

The increase would be aimed at securing revenue to redeem special bonds to finance reconstruction programs.

It is seen as a way of sharing the financial burden of reconstruction between a great number of people.

However, to avoid increasing the burden on people in disaster-hit areas, the government will set up a system to refund their extra tax payments, the sources explained.

The Cabinet Office has estimated the cost of damage caused by the earthquake and tsunami at up to 25 trillion yen

via Consumption tax hike may fund recovery / 3 years at 8% would cover bulk of costs : Business : DAILY YOMIURI ONLINE (The Daily Yomiuri).

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DPJ eyes ‘solidarity tax’ for disaster restoration : National : DAILY YOMIURI ONLINE (The Daily Yomiuri)

Oh, boy. Inevitably, perhaps, the natural and very human “solidarity” (see also here) will now become compulsory in Japan, and paid for out of your pocket.

The Democratic Party of Japan has decided to study creating a “reconstruction solidarity tax” to procure funds for rebuilding from the Great East Japan Earthquake, it was learned Friday.

via DPJ eyes ‘solidarity tax’ for disaster restoration : National : DAILY YOMIURI ONLINE (The Daily Yomiuri).

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The gift that keeps on giving…Your taxes!

Speaking of taxes, Trooper Thomson writes on the Englands Freedome, Souldiers Rights blog:

PFI: Labour’s gift to future generations
The Telegraph reports:

“Official figures show that, under Private Finance Initiative [PFI] schemes, British taxpayers are committed to pay £229 billion for new hospitals, schools and other projects with a capital value of just £56 billion. Several contracts are due to run for 60 years, documents released under freedom of information requests show, meaning taxpayers will be paying for the projects for generations to come. ”

Thanks Labour. What was that Mises said about socialism and economic calculation?

Hat tip: The Angry Exile

Mises? Who dat? Click to find out.
And what DID he say about socialism and economic calculation? He said it was impossible! Click to read more on the website.

Or read Mises’ 1920’s monograph Economic Calculation in the Socialist Commonwealth, for free, online, and kindly translated from the German for you. Plus it costs nothing except your time.

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What will they tax next?

Dr. Gary North writes:

A major secret of successful taxation is to make it painless. To do this, taxes must be hidden. Governments tax output up the entire supply chain. The sellers collect the tax. The public does not perceive this.

This British video gets this idea across: we are taxed all day. It does not get across the idea that this is done through value-added taxes on production, all along the supply chain.

Dr. North adds:

The public needs to lose faith in the wisdom of the governments that impose taxes. Humor is a way to undermine this faith. It reminds voters that they are carrying a lot of dead weight. It does not get better over time. It gets worse.

And here’s another one, from Canada this time:

And here’s the last one (thanks again to Dr. North for these YouTube links), coz we can all do with a laff:
(no embed option)

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