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Old September 6th, 2010, 05:56 PM   #1
Representative
 
Joined: Aug 2010
From: Cliffside Park, NJ
Posts: 204

Value Added Tax, (i.e. VAT); a sales tax method.

Value Added Tax, (i.e. VAT)
Unlike any other sales tax method, VAT does not any manner increase prices by additionally taxing the sales taxes levied within previous sales transactions. For this reason the government?s revenues due to exactly the same rate of taxation is less for VAT and greater for all other sales tax methods.

After the first transaction of a transaction chain, given the same tax rate, the same number of prior commercial transactions, and the same prices for each transaction (excluding the transaction taxes), are less for VAT and greater for any other sales tax methods.

The finite amount of difference is dependent upon the specific tax rate and number of prior commercial transactions, and the prices for each transaction (excluding the transaction taxes).

Respectfully, Supposn
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