Both Matthew Yglesias and Josh Barro have explained why expanding sales taxes to include services is a good, even critical deal for cities. A sales tax on gym memberships is no more a tax on fitness than a sales tax on books is a tax on knowledge. Yglesias notes how a “distortionary” sales tax that doesn’t include services creates “a tax subsidy to convert more things to services rather than goods thEveryan would otherwise be the case.” Barro explains that sales tax expansions aren’t as popular as they are reasonable: Between 2008 and 2011, seven states that tried to expand the sales tax to services saw those measures struck down.
I think that Yglesias and Barro should see their local sales taxes expanded to cover their own production – about ten cents per word sounds right.
Because, you know, a sales tax on fellating tool media production isn’t really a tax on knowledge.
Have these commies ever met any tax they didn’t approve of?