As we move from a manufacturing society to a consumption and service-based society, how should we re-think our taxation?

Taxes are supposed to fund government services. We can't even agree on what should be a utility overseen by government officials, let alone what's a Right or a Commodity, privatized or publicized.

But "assuming" we want some cohesive mobility from state-to-state, and nation-to-nation, in this global economy....should we reconsider taxing goods and instead tax services?

We should begin by defining Services. Is the internet knowledge-based system a product or a service? Is health care a product or a service? Is banking a product or a service? What about education?

It's easy to say waitstaff services our food delivery in a restaurant. We might tax the booze or food itself, but not the server. We might tax the truckers or goods brokers who move the food, but not the chefs or caterers.

In healthcare, we might tax the durable goods manufacturers but not the surgeons who implant the devices, or the nurses who service the post-op patient. Hospital dietary pays taxes on foods but not necessarily on their service.

Hotels have a service tax, tourism has a service tax, taxis and restaurants have a service tax (they can call it a voluntary tip or mandate a 15% payment on certain parties). Some states have no tax on income and no tax on purchasing clothes or food, they only tax services.

If we're going to be a service provider-consumer based society, do we need to re-think our whole tax structure? If we outsource everything from IT to manufacturing to financial services, plus a large chunk of our food supply....then no wonder we can't figure out how to fund government services like education or health.

Personally, I don't want to pay more in property tax to pay for education, but I also don't want to give Pizza Hut or Pepsico free reign in schools just because they can fund lunchtime, since our federal and state lunch subsidy has grown and can't meet need.

This is in GC because it's a vague and open-question rant kind of thing. Loki doesn't like D & D topics showing up on the home page until they're fleshed out. If this gets fleshed out then it can be moved.

Until then, let me ask if we should be taxing services instead of goods? Have at it.