We eat the fruit of the Tree of the Knowledge of Good and Evil daily. We idol ourselves. We take the Lords name in vain. We criticize our parents. We murder. We commit adultery. We steal. We bear false witness against our neighbors. Thats what we do. We’re only human.
I mean, Adam and Eve were banished from the garden for their sins. And it seems that small business owners and the general public may suffer the same consequence. The question is whose playing God in this scenario?
The United States has a revenue problem and California has the highest budget deficit in the nation. Taxing our hobbies and vices could be the state’s ticket out of debt. But, what exactly does taxing peoples hobbies and vices mean?
Sin tax
The IRS defines sin tax as a tax paid on goods considered by the government to be harmful.
The seven deadly sin taxes: cigarettes, alcohol, gambling, tanning, soda, junk food and trans fats.
Sin tax fact: Did you know that the government used the old bait-and-switch tactic on the health care reform bill. The ten percent tax on tanning was originally a tax on Botox and was swapped at the last minute.
Sin tax fact: Ever notice how every item in the super market has 0 trans fats? Thats because a fat tax was placed on products made with trans fat in an attempt to fight obesity. The government also passed a labeling rule mandating companies to display the amount of trans fats per product. Trans fat, or unsaturated fat, is a fatty acid that prevents the body from harvesting energy.
Luxury tax
The IRS defines a luxury tax as a tax paid on expensive goods and services considered by the government to be nonessential.
The expensive nonessentials: high-end vehicles and jewelry.
Luxury tax fact: The tax requires those who buy luxury goods to pay more. Revenue is then redistributed to benefit all citizens. Kind of like Robin Hood or the square between Boardwalk and Park Place.
Luxury tax fact: the government is flirting with the idea of imposing taxes on haircare, plumbing, electrical services, watch repair, tailoring, shoe repair, bowling, golfing, horseback riding, pool cleaning, gym memberships, interior design and van and truck rentals.