Quote:
Originally Posted by miguel1626
Value-added taxes (VAT), on the other hand, are self-enforcing. Since it's collected at every step of the supply chain, each buyer needs receipts with the actual price paid for the goods (as it is used in the value-added calculation), thus increasing compliance (the buyer demands accurate receipts, in order to reduce his own tax liability down the chain).
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I agree, but good luck convincing anyone in the U.S. to roll out a VAT anytime soon.
Though with Canada more than half switched over to VATs now from U.S.-style sales taxes, the U.S. is now one of the few without one.
What surprises me is the slow pace of jurisdictions in the U.S. collecting tax on online purchases. You'd think with the billions of dollars moving in and out of e-commerce, they'd be wanting to make sure they got their pound of flesh off of it. I understand that some are co-operating with e-commerce companies in exchange for them providing jobs within that jursidiction, but what about the rest?