Value-added tax has some GOP backers

Walter Alarkon
The Hill

The idea of a value-added tax (VAT), attacked by national Republicans ever since it was floated by a White House adviser, has some GOP supporters in Congress.

Five Republican House members are co-sponsors of a bill by Rep. Bill Pascrell (D-N.J.) that would impose a border tax on imports similar to an importing country’s VAT if the U.S. government couldn’t negotiate a way to cut trade imbalances. In the Senate, George Voinovich (R-Ohio) has suggested that replacing income taxes with a VAT could be one way to streamline the tax code.

“I don’t know whether it would [be more efficient] or not,” Voinovich told The Hill. “All I’m saying is that we shouldn’t just say it’s a bad thing.”

Voinovich was one of just 13 senators to vote against a “sense of the Senate” resolution offered by Sen. John McCain (R-Ariz.) in April calling the VAT “a massive tax increase that will cripple families on fixed income and only further push back America’s economic recovery.” Every other Republican and most Democrats voted for the non-binding resolution.

The article continues at The Hill.

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