Monday, July 7, 2014

Consumers and Hidden Taxes: Hidden Taxes Makes it Easier for Consumers to be Taken Advantage Of

Let me keep this one really simple.  By their very nature, hidden taxes are hidden from consumers.
 Meaning that consumers have no easy or realistic way of knowing if a proposed increase of taxes “charged to business” will result in an increase in the prices they, as consumers pay for the stuff they buy from business.
In this way, it’s just too easy to talk consumers, who are also voters, into raising the amount of the hidden taxes they don’t see, and most likely don’t realize they are already paying.  In this way, consumers are being taken advantage of as a result of what they most likely do not know.

So much for the idea that “What you don’t know won’t hurt you.”

Charles Lindberg and others throughout history have quoted a short but very powerful saying.  It goes like this.  “Knowledge is Power.”

Well, if knowledge really gives people power, such as the power to be and achieve freedom, then lack of knowledge, or ignorance, could be compared to slavery.

I do not consider myself to be better than anyone else.  But I do believe in exercising my right not to stay stupid.

I value my freedom, and to truly be free, I must be willing and motivated to learn.  It is the same for you.  I have written this eight part series on hidden taxes with the hope of motivating people to learn about this very important topic.

Why business must include the cost of Hidden Taxes in the prices they charge.

Business has only one source of money that can be used to pay all of its expenses including taxes required by government.  That source is the money collected from their customers.  The taxes business is required to pay must either be collected as a transparent tax added onto the price of the purchase, or it must be included within the prices charged to customers as a hidden tax.

The thing to keep in mind is that government, not business, decides whether or not the taxing system is based on transparent taxes or on hidden taxes.  When the taxing system is based on hidden taxes, then business has no choice but to add the cost of these taxes into the prices charged to their customers.

Why it is easier to trick Consumers into raising the cost of these Hidden Taxes.

In the same way that hidden taxes allow consumers to be taken advantage of by being made to pay the taxes charged to business, it also makes it easy for consumers to be tricked into raising the cost of something they can’t see, and don’t understand how they would be effected.

During election season, it has become normal to hear some candidates and other politically motivated people or organizations say something like “Business should pay more of its fair share.”  If business had a source of revenue (or income) that wasn’t from its customers (and consumers are customers), that good sounding idea might be possible.

In my opinion, those who promote this good sounding idea are simply encouraging higher hidden taxes consumers are going to end up paying in the form of higher prices.

In the next topic I talk about how those hidden taxes hurt the neediest lower income members of society.

Thank you for taking time to read and ponder my opinion on this topic.
An Opinion Article by Dave Kemper
                   _________________________________

It has been said that: "One definition of insanity is to do the same thing, the same way, over and over and over again, each time expecting to achieve a different result."
Therefore, we must either CHANGE the way we live, or we bind our future to our past as if with CHAINS.
"I do not consider myself to be better than anyone else.  But I do believe in exercising my right to not stay stupid."

David W. Kemper, Author
© Copyright 2014 by David William Kemper.  All right reserved
No part or portion of this publication may be modified in any manner without the express written permission of the author.  Quoting from this publication is allowed on condition that the name of the author and the name of the publication are included.

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