It makes small businesses even less competitive against large companies. Consider a few businesses. One owns an oil well. One owns a refinery. One owns a gas station.

The oil well sells 100L of crude oil to the refinery for $100 and pays $1.5 in tax. The refinery sells 100L of gasoline to the gas station for $200 and pays $3 in tax. The gas station sells 100L of gasoline to the consumer for $300 and pays $4.5 in tax. Total: $9 in tax.

BigCo owns an oil well, oil refinery and gas station. The only time money changes hands is when they sell 100L of gasoline to the consumer for $300 and pay $4.5 in tax.

Isn't that just a sales tax shuffled around?

One person's revenue is another person's purchase.

Huge transfer of wealth from low-margin businesses to high-margin businesses.

Supermarkets, for instance, have margins of about 3%. With a revenue tax they'd be completely boned. They could raise their prices, of course. But the bigger supermarket chains would be better off buying out their own supply chain.