The following website shows a graph of the tax rates for different income groups in the US in 2019 and in previous years. It shows that the most wealthy 400 people in the country do pay a lower tax rate than the lowest income people. This is from academic economists, and lends credence to the idea that the rich pay a lower rate.
Seems to me like a demagogy to compare income taxes to social security taxes. Social security tax is just a mandatory participation in government social security program, which has personal costs and also personal benefits. Income tax has no associated personal benefits.
Simple solution: Reset the cost basis of an asset to the current market value and realize the capital gain when said asset is used as collateral. Oh and treat the capital gain as income. No more of this lower tax bulllshit just because it's an "investment". Income is income. If anything CGT should be more than income tax because there's zero labor involved.
A tariff will at least necessitate US production which should necessitate employing people in the US and thus leading to even more competition for people. It should increase real wages, because it effectively reduces the labour supply.
To impose a tax only on imports. So, no, it's really not like a sales tax.
Look, Trump's idea is economically unwise for several reasons. But you're stretching past the breaking point in trying to find a way to drag it into this conversation.
The following website shows a graph of the tax rates for different income groups in the US in 2019 and in previous years. It shows that the most wealthy 400 people in the country do pay a lower tax rate than the lowest income people. This is from academic economists, and lends credence to the idea that the rich pay a lower rate.
https://taxjusticenow.org/
US Corporations pay around 5% of total US tax rev. Check how much Individuals contribute.
Seems to me like a demagogy to compare income taxes to social security taxes. Social security tax is just a mandatory participation in government social security program, which has personal costs and also personal benefits. Income tax has no associated personal benefits.
Obviously
Simple solution: Reset the cost basis of an asset to the current market value and realize the capital gain when said asset is used as collateral. Oh and treat the capital gain as income. No more of this lower tax bulllshit just because it's an "investment". Income is income. If anything CGT should be more than income tax because there's zero labor involved.
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For Donald Trump, this is not enough!
He wants a national sales tax (he disguises it as a tariff) to make the American tax system even more regressive than it already is.
A tariff will at least necessitate US production which should necessitate employing people in the US and thus leading to even more competition for people. It should increase real wages, because it effectively reduces the labour supply.
A sales tax and a tariff are two very different things.
https://differencify.com/tax-vs-tariff/
They are very similar, the difference is that everyone can see sales tax on their receipt.
Tariffs are a clever way to impose a hidden regressive tax.
To impose a tax only on imports. So, no, it's really not like a sales tax.
Look, Trump's idea is economically unwise for several reasons. But you're stretching past the breaking point in trying to find a way to drag it into this conversation.