Should the US adopt a VAT tax?

[Viper1]

Final-Fan said:

Viper1 said:

Joe, here's the plan.  Freeze all current spending levels.   Cut 1% off the top of everything every year for 5 years.  The budget is now balanced and we start paying down the debt.

No increase in taxes, and I'm certain people would prefer a 1% reduction in spending over 5% increase in taxes.

Check your math, Viper. 

Already have.  And it's a system supported by several in Congress.

The get the fiscal year budget in line, we need to make up the current ~$1.5 trillion budget deficit.

Freeze on spending keeps that deficit from increasing.   Annual spending is $3.8 trillion.  A 1% reduction would be $38 billion.  5 years = $190 billion.  Down to $3.6 trillion.  Decifit is now ~$1.3 trillion.  2012 projected revenue = $2.62 trillion.  An increase of ~460 billion from 2011.  Given I think that would be a pretty high increase every year, I'll reduce that to $250 billion.  $250 billion x 5 years = $1.25 trillion.   Deficit is now just ~$50 billion.  That can easily be made up with higher revenue in year 4 or 5.  Deficity close and by year 6 we can unfreeze spending AND pay down some debt.