DEFICIT COMMISSION - THE VAT IS ON THE TABLE 

The liberals tried to convince you that I was fear-mongering .. scaring you into believing that the Democrats want to impost a value-added tax on top of our income tax system and all other taxes. Well Rudy Penner, member of Obama's deficit commission and former Congressional Budget Office director says that one way to close the deficit would be a new tax code with a VAT and lower income-tax brackets. In other words ... a VAT is on the table and the rich people will still be paying income taxes.

But apparently all of my fear-mongering is getting in the way .. well, that is what I like to believe. But the Republican co-chair of this fiscal commission says that critics of the value-added tax are trying to distort his panel's efforts! Former Senator Alan Simpson, member of this panel says that critics are making it sound like "you're coming in and slapping it on top of the income tax." Funny, but isn't that exactly what Rudy Penner said? A new tax code would include a VAT and lower income-tax brackets? While they may be lower (and who knows how low those will even be) the income tax would still be there --- and how long do you think it would be before politicians started sneaking in little increases here and there to meet some spending or social goal? Therefore, yes .. the VAT will be on top of income taxes. But if the Democrats get their way, only the evil, filthy rich will be paying these income taxes.