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Comment by madsbuch

VAT is only regressive if you assume that everybody have a constant spending regardless of their income. In practice I think people with a higher income also spend more, however, probably not linear to their extra income.

In practice, sales tax is probably progressive, but not to the same extend as, eg. income tax.

Furthermore, we should probably consider increasing the sales tax as it limits the consumption. This is highly necessary given our current ecological situation (In Denmark, where i live, the sales tax is 25%).

parent madsbuch 7 years ago

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