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Eliminate Taxes Completely! What if there were no tax at all?

Updated on April 13, 2022

What would happen if by some miracle all the taxes disappeared in America. One hundred years ago the American people hardly paid any tax at all and we were a prosperous country.

Nowadays people say that we should tax the rich. But, a person who makes a million dollar salary already pays about 60% of their income in taxes while someone who makes about $40,000 only pays about 30%. And if we tax the rich who will start businesses? Who will hire people? Regardless of how much a person pays, taxes are the main source of economic stagnation in this country. In other words, if you would like to see America prosper again you must reduce taxes and I would argue eliminate taxes completely.

While a great percentage of taxes come from the income tax, many people do not understand the large amount of tax that is derived from just purchasing everyday products. There are taxes on just about everything. However, these taxes are hidden because they are built into the price you pay for items. Here is a list of items with hidden taxes as told by MSN's Judy Hasson:

Here are some items whose prices are jacked up with import taxes:

Taxes on imported goods



Cotton hammocks


Certain infant formulas


Table linens


Would you like to see all taxes eliminated?

See results



Peanut butter








Plastic school supplies


Source: Institute for Policy Innovation, Washington, D.C.

Almost everything you buy is taxed in some way, shape or form, from the milk you buy at the grocery store to the insurance policy your employer provides to your cell phone service. But, because the tax is built into the price of the item most people never see it. According to the Institute for Policy Innovation Americans pay an additional $2,462 per person in hidden taxes per year.

Examples of How Taxes are Hidden in the Price of Goods

Americans for Tax Reform (ATR) has calculated several examples of how taxes affect the purchase price of several goods and services. The ATR figures include the impact of all taxes — not just certain hidden taxes — on prices. According to ATR:

• Taxes account for 35 cents of the cost of a $1.14 loaf of bread.

• 18 cents of a 50-cent can of soda go toward taxes.

• 72 percent of the cost of a 750-ml bottle of liquor goes toward taxes.

• Taxes for an $80 hotel room average 43 percent.

• Taxes account for $63.60 of a $159 airline ticket.

• A $153.09 monthly utility bill consists of $39.35 in taxes.

• Over half the cost of a $3.33 gallon of gasoline is due to taxes.22

A 1992 Cato Institute study looked at taxes somewhat differently, calculating how much someone needed to earn to have enough after-tax dollars to purchase several products. The study concluded that a typical worker needed to earn $17,038 to buy a $10,000 car, and $2,556 to purchase a $1,500 computer.23

These figures were from 1992, the figures today are much higher and NONE have gone down, if anything the rates will continue to skyrocket. When you consider how much money is paid out in taxes and then you also consider how much of those products and services were purchased using credit cards so that interest is then added to this amount and inflation it's no wonder that we are in big trouble in this country.

The reason that we have such a high unemployment rate in this country is because many businesses have gone off-shore to avoid paying taxes. Just think if we had a magic wand and we could eliminate all taxes. Immediately everyone would get a large raise in their take home salary. The wars would be de-funded. Business would be re-energized. People could start new businesses without all of the tax burden that other countries employ and America would be seen as the place to do business. Prices on everything would plummet and incomes would rise. Schools, hospitals and charities would have to find new methods of funding. But, more people would have more money to give to charitable organizations. And jobs would be created because businesses would have more expendable income to grow.

Taxes are a form of slavery. When you are taxed you are being deprived of your money and therefore the time that it took to acquire that money. The more one is taxed the greater the slavery.

Instead of taxes we could have fees. Fees could be levied for schools, roads and infrastructure from people who use them and other expenses like government could be cut way down and financed through a flat sales tax.

Furthermore, the federal income tax which is illegal does NOT PAY FOR ANYTHING! All of that tax goes to paying the INTEREST on the 17 TRILLION dollar debt we owe!

If we want to see our country prosper, we must eliminate all taxes. We did without the majority of them 100 years ago and we can do without them today. It's the only way out!


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