Wealthy people pay taxes on personal consumption, and wealth has no meaning unless it is spent on personal consumption. If I had $100 million and lived in a $20,000 home and drove a used car, that $100 million would mean nothing to me. So somebody would be borrowing it, building their business with it, and creating jobs with it. Wealth has value only when spent personally, and that is when it will be taxed.
Discussing the relationship between wealth, personal consumption, and taxation.
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You told it to me once. It is the difference between someone who is a big believer and a fanatic.
I do share the Ranking Member's frustration that we are talking about it again, rather than doing something about it.
That is right. So the consumer of that small business not only pays the $100 plus the payroll tax, it also pays the $724.
If you really want to help working families move up that ladder, you have to deal with the payroll Tax Code.
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