Many EU countries have a “VAT” and like feel like this is kinda targeting poor people. Like, for the rich, this is insignificant, for poorer people, a (example) 20% tax would be a huge burden. Why do they do this?

🤔

  • ERROR: Earth.exe has crashed@lemmy.dbzer0.comOP
    link
    fedilink
    English
    arrow-up
    2
    arrow-down
    2
    ·
    edit-2
    3 days ago

    Taxing at point of sale is a weird way to do it.

    A better way (in my opinion) is by income, the higher, the higher your tax rate.

    A VAT is essentially like a “flat tax” rate, that some politicians in the US are proposing.

    • MurrayL@lemmy.world
      link
      fedilink
      English
      arrow-up
      4
      ·
      2 days ago

      We do that too.

      Not sure about countries in the EU, but in the UK your income is taxed at different rates depending on how much you earn in a year.