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| *The Commerce Journal>>>Other Taxes |
Does the federal government collect more money from corporate taxes or consumption taxes (like sales tax)? |
Does the federal government collect more money from corporate taxes or consumption taxes (like sales tax)? Sales tax is typically a state tax, so the federal government does not earn money from state taxes. The majority of the federal government's income is from income taxes on both individuals and businesses. The Federal government does not collect sales tax. The "fair tax" that has been suggested would be a "sales tax". There is no Federal sales tax (thank God!) so even if they only collected $1 from corporate taxes they'd collect more from corporations than in sales taxes. Federal government doesn't collect consumption taxes. States collect sales tax. So the answer is easy by default, corporate taxes. |
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