Obama Admin: Taxes likely to rise eventually to tame deficit

According to a top Obama economic adviser that higher energy taxes and a national sales tax (the Value Added Tax) may be on the way.

Paul Volcker, chairman of Obama's new Economic Recovery Advisory Board, told the crowd at a New York Historical Society event that:

a value-added tax "was not as toxic an idea" as it has been in the past and also said a carbon or other energy-related tax may become necessary."

Just what this country needs right now, a 25% sales tax (on top of any state and local sales taxes) and skyrocketing energy prices.

It might not be "a toxic idea," Mr. Volcker, but it will be toxic to the economy.

VAT is a huge source of revenue for European governments and also a huge cost because of the level of administration required.

Just what we need: a massive national sales tax of 10 to 25% and huge additional costs for business. Seems that the only winner here is the government; and that is just how Obama likes it.