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Middle class families are likely paying off a large mortgage. This is tax free wealth creation which is not possible for poor families living in rented accommodation. I’m not making any political point rather just pointing out the regressive features of sales tax because of the relative...

Wouldn’t make any difference. It’s not the ‘stuff’,it’s the investment returns from savings. These are only earned by the rich and it is impossible to police a VAT like tax on such returns because capital would then move abroad. Whether you like it or not all sales taxes are regressive.

That works both ways. A regressive sales tax is a regressive sales tax regardless of where it comes from. Wouldn’t it be good if an incoming progressive government were able to reduce sales tax to reduce inequality in the tax system and encourage spending ?

Poorer people spend a greater proportion of their income than they save. Therefore VAT is a regressive and unfair tax.