Who Really Pays All Those Taxes?

The truth of the matter is that few members of the public understand the realities of any taxes. Every business, large or small—every professional—every taxable entity or organization—every worker, all appear to pay taxes to many governments. Actually, corporations do not pay taxes. Businesses do not pay taxes. Professionals in their professions do not pay taxes. Organizations including those who are not-for-profit do not pay taxes.

If that is so, who is it that actually pays these taxes?

The truth is, all of these “taxpayers” merely collect those taxes from customers or clients in the final price to the consumer of their products and services and then pass them onto the government. They collect taxes exactly like the much more obvious sales tax. Even the so-called company-paid portion of FICA taxes add to the cost of an employee and so are actually taken from the employee. Those who actually pay every one of those federal and state taxes are, guess who—you! All those soak-the-rich taxes are finally paid for by the end user of all goods and services. Guess what portion of the bicycle you bought, or that movie you took your girlfriend to see, or the dinner you and your family had for your birthday, was actually taxes passed down to you through the distribution chain. Is is 5% or 20%? How about from 35% to 60%? Add to that the sales or VAT taxes collected by your state or city. You could be paying as much as 75% tax on every purchase if you live in New York City.

What happens if lawmakers enact windfall profits tax at 50% of net profits? It's quite simple. Every dollar increase in taxes will be met with a slightly larger total increase in fuel prices at the pump to make up for the increased cost of doing business. As with all business, this cost will be passed through to the consumer or end user. That would add as much as another nickel to the price of gas at the pump. So who is paying that excess profits tax? It is the ignorant motorist who voted those incompetent oafs into office just to punish the oil companies. Cut off nose to spite face, is the reality they ignore.

No matter when or how they are levied, taxes are ultimately paid by the final consumer. This is true of buyers of products or users of service. At the present time, hidden taxes amount to between 20% and 26% of every dollar the public pays for everything. Every dollar paid for every nail, hammer, car, vacation, legal service, doctor visit, and so on, now contains between twenty and twenty-six cents in hidden federal taxes. Add to that federal and state income taxes on all the pay for the workers, or profits for the business involved in providing that item or service. Don't forget FICA taxes or others that add to the cost of those goods or services. Actually, the hidden taxes on fuel are a bit lower than that because of the rapid rise of the cost of imported oil now around 70% of the price at the pump. A large part of that is appropriated by the governments of the oil-rich nations where we have no control. It goes directly into the coffers or certainly the complete control of their leaders. The socialist/communist welfare state will ultimately collapse economically when its natural resources run out, or it no longer has enough private capitalist enterprises generating profits to tax.

Currently and almost unbelievably, it is the capitalist machines of the Chinese state that are supporting the American socialist state systems by loaning that government vast amounts of money. What does the reader think will happen when the US owes China more than its net worth? With the trillions of dollars of debt we are now assuming, that time is rapidly approaching, thanks to the deliberate efforts of our current administration. Just who will be the ones to pay this enormous, outlandishly foolish debt?

When the American military suddenly finds itself paid, supplied, and owned by the Chinese and China takes over America in a bloodless coup, a group of Chinese bureaucrats will be running Washington for their own benefit.

Will Americans wake up then?