Raising the tax rate on essential goods -- a traditional means of increasing government revenues -- invariably turns low- and middle-income taxpayers against the government  Hence government officials have proposed adding a new tax on purchases of luxury items such as yachts, private planes, jewels, and furs
The officials claim that this tax will result in a substantial increase in government revenues while affecting only the wealthy individuals and corporations who can afford to purchase such items
Will luxury goods be taxed at a higher rate than that at which essential goods are currently taxed.