2007-07-13 18:08:13 · 3 answers · asked by sunin2008 2 in Business & Finance ➔ Taxes ➔ Other - Taxes
And your question is?
2007-07-14 09:59:29 · answer #1 · answered by ? 6 · 0⤊ 0⤋
It means that taxable income would be subject to a single rate of tax (as oppose to the present system where there are several brackets and rates). For example if the rate imposed is 10% then, A who earns $1,000 will be subject to $100 making his net pay at $900; while B, who earns $100,000 will be subject to tax of $10,000 with net pay of $90,000. One of the pitfalls of this system (according to critics) is that, A's payment of $100 would actually affect him more than B's $10,000, since B would still have $90,000, which is more than enough to live by.
2007-07-17 09:55:06 · answer #2 · answered by Christine 2 · 0⤊ 0⤋
Great idea if you're rich. Lousy idea if you're middle class. Cardboard box time if you're poor.
2007-07-15 13:37:57 · answer #3 · answered by Bostonian In MO 7 · 0⤊ 0⤋