Yachtie -> RE: Welfare benefit scroungers - the evidence just doesn't add up. (12/9/2012 7:56:59 AM)
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ORIGINAL: Rule quote:
ORIGINAL: thezeppo quote:
ORIGINAL: Rule About twentyfive years ago I conceived of a progressive tax system. It would start at whatever politicians deemed basic necessity and would increase with whatever slope of the exponential function they determined. So for example the first two hundred euro earned would be tax free. Then next the progressive tax starts, say one percent increase per hundred euro's per month earned. So if one earns three hundred euros, one pays 1 euro tax. If one earns four hundred euros, one pays 4 euro's tax (i.e. two percent on two hundred euros). If one earns four hundred euros, one pays 9 euros tax. If one earns twelve hundred euros, one pays one hundred euro tax. If one earns 2200 euros, one pays four hundred euros tax. If one earns 5200 euros, one pays 2500 euros tax. If one earns 10200 euros, one pays ten thousand euros tax. No deductions except for gifts. So, say someone earns 10200 euros, but has to pay ten thousand euros in taxes. He now donates one thousand euro's each to the Departments of Defence, Economy, Infrastructure, Police, and to his poor mom. He is then left with 5200 euros to be taxed and pays 2500 euros in taxes, leaving him with 2700 to spend as he pleases. In this scheme minimum wages can be abolished. The consequence of which is that everyone can have a job. So, for those who follow the system there is literally no incentive to work harder and receive a higher paying job as you will just end up 'donating' your money to the government to have a living wage anyway. For those who don't, what's to stop you donating your entire salary to the person at the next desk and vice-versa? The only context I can see this working in is a heavily nationalised society, where relative reputations of jobs are irrelevant and salaries are broadly equal. If that is the society you envision, probably the tax system isn't the best place to start. Most people earn low wages; so most people will have an incentive to earn higher wages. This scheme promotes small businesses and therefore a large middle class. This scheme decreases the social instability caused by few people being extremely rich and many people living in poverty. People who donate parts of their income to government departments in order to lower their taxes thereby have a large influence on how their money is spent, which they do not have if they simply pay taxes and let politicians decide how to spend that. Sure you may donate your entire salary to the person at the next desk. I don't care. Be sure that you have some canned food in house. I forgot to mention a voting compensation for the paying of taxes: Each person has one vote, incremented by say the square of the percentage of tax paid. (The exact factor of increment to be determined by politicians in Parliament.) This gives people an added incentive to earn a lot of money and to pay a lot of taxes. It also gives the people who pay the most taxes the most political leverage. So say a person earns 1200 euros per month. In this example he pays ten percent tax on one thousand euros = one hundred euros of tax. The increment to his basic one vote is ten percent squared = one hundred percent = one vote. So in an election he can vote twice. Say a person earns 5200 euros per month. In this example he pays fifty percent tax on five thousand euros = 2500 euros of tax. The increment to his basic one vote is fifty percent squared = 2500 percent = 25 votes. So in an election he can vote 26 times. Say a person earns 10200 euros per month. In this example he pays one hundred percent tax on 10000 euros = 10000 euros of tax. The increment to his basic one vote is one hundred percent squared = 10000 percent = 100 votes. So in an election he can vote 101 times. Rule, couple questions. 1. How large of a BIG TAX payer population (holding sufficient votes) would it require to offset the voting of the middle / lower class? 2. If said BIG TAXpayers held a large enough voting block, what would be the first thing they would vote on?
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