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Sequestration - what happens to US taxes and fees?

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Sequestration - what happens to US taxes and fees?

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Old 27th Feb 2013, 06:35
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Join Date: May 2009
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Sequestration - what happens to US taxes and fees?

Almost a rhetorical question but what happens to the plethora of US taxes and fees for 'services' if the FAA, TSA, CBP, agriculture, etc stop providing them at a reasonable level?

On a RT to the US with no domestic flights one pays: Security (AY) $2.50; Int'l tax (US) $33.40; animal and plant (XA) $5.00; immigration (XY) $7.00. At least $48.

I recall a couple of years ago (due to some political dilemma or another) they actually stopped collecting some tax or another. I recall that due to the losses of some millions, the dilemma went away quite quickly. Will that happen in this case?

Last question. laHood (sp) is on record as saying "we're going to cut services across the board", but doesn't he have an obligation to maintain services that are being paid for? ie cut services for corporate jets (whose passengers don't pay many of these fees), while maintaining commercial flights?

This is NOT intended to invoke discussion on the politics causing the problem I'm sure there's a place for that in JB. Thank you
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Old 5th Mar 2013, 05:00
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Fear not. The sequestration is on the spending side, it has nothing to do with the revenue side, so all those taxes will be continue to be collected.

Governments, unlike the private sector, have no enforceable obligation to provide any of the services the taxes are collected to "pay for".

I don't think I can say any more without making a political statement.

TWB
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