Gentry, William M.; Hubbard, R. Glenn - 2021
As a tax base, 'consumption' is sometimes argued to be less fair than 'income' because the benefits of not taxing … capital income. Indeed, relative to an income tax, a consumption tax exempts only the tax on the opportunity cost of capital …. In contrast to a pure income tax, a consumption tax replaces capital depreciation with capital expensing. This change …