Wednesday, January 4, 2012

Taxes paid by Consumers

Most people think the only taxes they pay to the Federal Government are the ones directly confiscated from their weekly pay checks and on April 15th of every year. A large part of the people who live in America do not understand that they are paying taxes to the Federal Government on everything they purchase from gas for the car to food at the grocery store, I am not referring to the various sales taxes.

Each and every business has taxes they have to pay for the business and for each person they employ. If a business is going to survive they have to factor all the taxes into the actual cost of manufacturing what ever their products is, this leads to the taxes that have been levied against the business to be passed along to each and every consumer that decides to by their products.

Keeping this in mind every time a politicians states that a certain type of business needs to have more regulations and should have to pay more taxes the end consumers are the ones that are going to feel the tax burden not the business. So any new taxes or regulation are a back door way to increase the tax burden on each and every one of the people who actually pay taxes.