That VAT tax is a sneaky little thing! When your state charges you a sales tax you see it printed on your receipt. This is essentially a federal sales tax – but one that does not appear on your receipt. This is why a VAT is known as a “politicians favorite tax. It’s also what’s known as a regressive tax, meaning it is more of a burden on the poor and middle class than on those that are more well heeled.
Below: just the text of the cartoon for those poor souls who turn images off in their browsers :
Obama promised he wouldn’t raise middle class taxes. But he says he’ll consider a VAT.
What’s a VAT?
Value Added Tax . Taxes are charged to manufacturers at each stage of production, “as value is added.” So people blame them for the rising prices instead of blaming politicians.
So, there’s no value added? Just a tax is added? Shouldn’t it be called a Tax Added Tax, not a Value Added Tax? A TAT not a VAT? That’s one hell of a typo.