this post was submitted on 16 Dec 2024
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The thing that bothers me most about it is that it's making the tax less progressive.
The people who will benefit the most are people who spend the most on: toys, games, eating out, etc.
I get that the whole point is to allow some luxuries for Christmas, but this is going to do jack shit for people who are really struggling.
Yeah, if someone can't afford a toy at $56, they're not going to be able to afford it at $53.50 even one of the most expensive exempt items I can think of, a PS5 Pro ($1075.20 after tax, not including electronic eco waste fees or whatever), only goes down by $48. Not nothing, but hardly a meaningful impact. Someone on fulltime minimum wage who spent 100% of there income on newly tax exempt stuff would save about $200 over the 2 months, but that's not even including the necessities that don't get any cheaper like rent and other bills.