Trump will scrap federal income tax and abolish IRS, ally suggests

[VMA131Marine]

18. It's the cumulative effect of adding 25% onto everything

Imported that’s the issue. If everything costs 25% more, you can buy 20% less stuff for the same money. Not such a big issue if you have plenty of disposable income at the end of the month, but if you live paycheck to paycheck the total amount you can buy will decrease.

Now you might say that people will have more money if they don’t pay income taxes, and that’s true. But if you’re making less than the median income and probably substantially more than that, your federal tax rate is much less than 25% so you will still lose out and be able to buy less. So that’s well more than 50% of the population who will be able to buy less stuff. That will probably mean few people buying things like bananas as they try to figure out what things are essential and what they can do without.