2007-02-28 08:44:04 · 5 answers · asked by Rajan9 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
Because it's a tax that takes more money away from those who need it the most.
2007-02-28 08:47:51 · answer #1 · answered by Jim C 4 · 4⤊ 0⤋
It has its advantages and disadvantages
The advantage is that those that have more money can afford to pay more taxes.
The rate would be higher for lower income people and better for high incomes (today you move from 17% to 54%) If you wanted to collect the same revenue it would then be around say 35%. Think of the lower income person having to pay that kind of tax.
2007-02-28 16:50:17 · answer #2 · answered by Johnny 5 · 0⤊ 0⤋
Reasonable question, since it seems simple and efficient. Russia uses it, and Serbia and Slovakia.
But more advanced countries know that rich people have huge advantages, so it'd be perverse to also let them pay proportionally less income tax than regular working folks.
Rich people in Canada, the U.S. and U.K. arranged the next best thing: they conned our politicians into cutting corporate taxes. So now the multimillionaire business-owners still contribute less to society than us working stiffs.
2007-02-28 17:10:33 · answer #3 · answered by will_o_the_west 5 · 0⤊ 0⤋
In spite of it's obvious advantages, it doesn't sell well politically. Easier to say "make the rich pay their share", and then tax the middle class more.
2007-02-28 21:12:46 · answer #4 · answered by Quixotic 3 · 1⤊ 0⤋
Government wouldn't make any money to squander!
2007-02-28 16:51:25 · answer #5 · answered by Anonymous · 0⤊ 3⤋