The possibility of introducing a value-added tax (VAT) in the United States has been discussed on a sporadic basis for several decades. In recent years, efforts to implement a VAT have been spurred by a desire to replace the revenue lost from reducing and simplifying the income tax (for example, Graetz 2010; Toder, Nunns, and Rosenberg 2012) and/or a desire to shore up the nation’s long-term fiscal situation (Debt Reduction Task Force 2010; Gale and Harris 2011).
http://www.brookings.edu/research/papers/2016/03/16-entrepreneurship-small-business-under-value-added-tax-gale
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