Taxing circumstances


Look at the actions, not the pledges
Even when I do agree with him, Rush Limbaugh isn't always worth quoting. He is this time though, although it will disappear behind his subscription wall later today.

No, I think it's because a lot of liberals drink.  A lot of liberals consume adult beverages, but they don't smoke.  And so they're not going to go after something that they use.  Not going to go after something that they do.

He's referring to the proposed $10 tax on cigars I told you about a couple of days ago. And he perfectly illustrates two of my favorite points.

First, taxes are a lousy way to control behavior. It doesn't matter if it is "sin" taxes, "windfall" taxes, "opportunity" taxes, or "luxury" taxes. Taxes can't change behavior, taxes just change the circumstances. Tax "luxury" items and it doesn't stop people from buying and using those things, it moves the purchases outside of American jurisdiction. The only ones hurt are those who used to provide the products and the government that used to tax them.

When you mix government and "morality," you are pretty much asking for corruption. In this case, government would be allowed to be harsh on smoking cigars, but not to be harsh on drinking rum.

My solution is simple. Make all taxes uniform with no exemptions and no exceptions. If it's a $10 dollar tax on cigars, then it should also be a $10 tax on soap cakes, socks, toothbrushes, and popcorn.

Of course people would get upset at the excessive tax. That is the point. Just because taxes are targeted at one unpopular item doesn't make them right.

— NeoWayland

Posted: Fri - July 27, 2007 at 12:11 PM  Tag


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