Buy European
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view the rest of the comments
It's to do with the proportion of one's income that goes into purchases and the proportion of one's income that goes into savings (which generally ends up as investments):
Absolutely, the more income people have the more they spend, but spending doesn't grow at the same rate as income and beyond a certain point people just naturally end up earning so much that they don't spend it all or even most of it.
In percentage terms, the poor and working class are the worst hit by sales taxes because, after paying rent and mortgage 100% of their income ends spent purchasing essential goods hence hit by sales tax, whilst the rich are the least hit by sales tax because their income is so vast that they spend only a tiny amount of it on things covered by sales tax.
Whilst in absolute, dollar terms it's not the poor that pay the most in sales tax per person, they're hit the hardest because sales taxes hits all of their income (after rent/mortgage) hence hurts them more, plus that income was already not sufficient to live well enough the first place and sales tax just makes it worse.
Thanks, this makes it clear for me. I think the tax burden shouldn't be spread thinking about who pays the most in the absolute sense but according to how much the tax burden weighs them down. Not being able to save money for a rainy day is definitely a sign the tax burden is too high. I imagine there is plenty of research of what is fair and what is not, also on what is wise policy and what is foolish. But it's so easy to spin these theories to make them seem like something they're not. Paying less taxes is so attractive, people might vote for something that actually hurts them because they're (intentionally) confused about how a certain tax affects them.