If we charged taxes on revenue, vertical integration would skyrocket. Because the more hands their product goes through, the more tax they need to pay.
We could exempt B2B taxes from the revenue model theoretically though.
You basically described VAT. Which works extremely well. Some small tweaks to capture all revenue (not just sales) and a wealth tax to discourage hoarding and revenue taxation would function quite well.
The problem with VAT is that is that it’s not a progressive taxation system. Whether you can afford one sandwich or one million sandwiches, you pay the same either way. We could compensate for it by giving money to the poor, but redistributive policies tend not to be popular with the general public.
If we charged taxes on revenue, vertical integration would skyrocket. Because the more hands their product goes through, the more tax they need to pay.
We could exempt B2B taxes from the revenue model theoretically though.
You basically described VAT. Which works extremely well. Some small tweaks to capture all revenue (not just sales) and a wealth tax to discourage hoarding and revenue taxation would function quite well.
The problem with VAT is that is that it’s not a progressive taxation system. Whether you can afford one sandwich or one million sandwiches, you pay the same either way. We could compensate for it by giving money to the poor, but redistributive policies tend not to be popular with the general public.