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#1 2005-03-08 13:15:22

Palomar
Member
From: USA
Registered: 2002-05-30
Posts: 9,734

Re: Flat-Tax Rate (Europe)

http://story.news.yahoo.com/news?tmpl=s … ax_1]Click

*How would this make life more difficult for the middle class?  A portion of the article (a detractor) seems to indicate that.

--Cindy


We all know [i]those[/i] Venusians: Doing their hair in shock waves, smoking electrical coronas, wearing Van Allen belts and resting their tiny elbows on a Geiger counter...

--John Sladek (The New Apocrypha)

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#2 2005-03-08 13:33:26

Cobra Commander
Member
From: The outskirts of Detroit.
Registered: 2002-04-09
Posts: 3,039

Re: Flat-Tax Rate (Europe)

How would this make life more difficult for the middle class?

It wouldn't, unless the flat rate were higher than they currently pay. Whether or not that's the case depends on the current arrangement of the country in question. In the US it probably wouldn't adversely affect the middle class, but it would hit the poor who currently don't pay income tax at all. That's easy enough to fix (just put a cap on taxable income, anything below it is untaxed) there are many factors to consider.

It all comes down to what is the difference in government revenue between the two systems and what are they willing to do to adapt.

Lower tax rates don't automatically mean lower tax revenue either, it's a balance of what individuals pay and how many pay it.

Support or oppose a flat tax, the devil is in the details.


Build a man a fire and he's warm for a day. Set a man on fire and he's warm for the rest of his life.

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