Time to tackle inequality!

[RonJeremy]

You seriously want to know why closing loopholes and increasing tax for the top 1% would be a good thing for the rest of us?

 

So what should the tax rate be for someone earning say

50k

100k

200k

400k

500k

1m

2m

4m

8m

?

They are all rich in the (world) scheme of things. Hell 15k pa is really quite wealthy in the world

[Bonzo77]

You mean that the tax laws in the UK exempt anyone with a high income from paying any taxes at all?

 

That's what you seem to be implying

 

I'm sure that like here those people on low incomes and with dependents are exempt from taxes

 

I'm implying that the top earners exploit loophole and pay very little in tax, if anything at all. It's the same in the US too.

[tinfoilhat]

You seriously want to know why closing loopholes and increasing tax for the top 1% would be a good thing for the rest of us?

 

I'm all for closing loopholes but that's not the argument you're putting forward. You want to tax the rich more (how are you defining rich by the way?)

 

You seem to be avoiding the bit about the French taxing the rich and how that is helping (or rather not helping/having a negative effect) their economy.

[RonJeremy]

Didn't America create $4 trillion from the federal reserve in 2010, under the guise of creating more jobs? Since then America has lost 10 million full time jobs! I don't know the figures for the UK but the US has over 90 trillion in wealth, yet it's all head by the top 1% who dodge tax.

 

I fall into the 50% bracket, I doubt the top 1% are paying 50% of their income to the tax man!!

 

It's 45% now

And anyway if you just fall into that bracket, then you will only pay 45% on the marginal bit so your average tax will be a lot lower than 45%. A person earning 4m in wages will pay much closer to 45% of his or her income in tax.

Edited October 19, 2014 by RonJeremy

[Harleyman]

Quite so

 

Scenario:

I have £1m tax paid and earned.

1.) I can keep the 1m and live off it.

2.) I can invest the 1m in setting up a new business employing people as a side effect of me wanting to increase my wealth. The business will not make money to begin with but after a while it should give me 10% RoI. It may fail and in which case I would lose the 1m.

If I am taxed at 40% then the 100k I earn = 60k

If I am taxed at 75% then I get 25k

 

So when I make the decision I have to decide what to do with my money. If the tax rate is too high it is not worth my risk to work hard only for it to be taken away from me and given to those who don't work.

The incentive to make money (and incidentally create jobs) needs to be there. It is fairly simple.

But hey no, some of you will just say "Tax the rich". It is short sighted and borderline theft.

 

---------- Post added 19-10-2014 at 16:10 ----------

 

 

I which parallel Britain are the rich not taxed? The poor aren't taxed anyway. They reap benefits paid for by others.

 

They just don't seem to get it though do they? Redistribute the money among the populace and everything will be just wonderful from then on

[Bonzo77]

So what should the tax rate be for someone earning say

50k

100k

200k

400k

500k

1m

2m

4m

8m

?

They are all rich in the (world) scheme of things. Hell 15k pa is really quite wealthy in the world

 

First thing would be to close all the loopholes then increase the rate. I don't know what the rate should be. £15k is not wealthy in the UK.

[RonJeremy]

First thing would be to close all the loopholes then increase the rate. I don't know what the rate should be. £15k is not wealthy in the UK.

 

assume we all agree that tax loopholes should be closed.

What should the rates be.

 

Of COURSE F of Course itsnot wealthy in the Uk where did I say that?

[Harleyman]

I'm implying that the top earners exploit loophole and pay very little in tax, if anything at all. It's the same in the US too.

 

I owned a small but very successful construction company for years. What loopholes? I could claim depreciation of equipment, two kids as dependents, mortgage payments on the house and that was just about it. I paid the plumbers, electricians and carpenters full union rates. Good money too

 

I worked long hours, busted my butt and spent more time away from hearth and home that I wished. My income was good after all the overheads and expenses and I deserved it all. There would have been no point in making any effort whatsoever had the incentive to make good money not existed

[RonJeremy]

I owned a small but very successful construction company for years. What loopholes? I could claim depreciation of equipment, two kids as dependents, mortgage payments on the house and that was just about it. I paid the plumbers, electricians and carpenters full union rates. Good money too

 

I worked long hours, busted my butt and spent more time away from hearth and home that I wished. My income was good after all the overheads and expenses and I deserved it all. There would have been no point in making any effort whatsoever had the incentive to make good money not existed

 

I was wondering what a loophole was. And where can I find these loopholes Just trying to get an answer on the suggested socialist tax rates

[tinfoilhat]

I was wondering what a loophole was. And where can I find these loopholes Just trying to get an answer on the suggested socialist tax rates

 

There are tax breaks and there are loopholes. The uber rich and big corporations use loopholes which is why amazon and Starbucks pay no corporation tax despite making millions in profit. It's also how the likes of Gary Barlow paid bugger all by their accountants using some very dodgy methods. It's legal but wrong - other companies and high earners pay it.