For each generation that grows up in America, there is always one thing that they all share, taxes. Individuals pay taxes on almost everything these days. Taxes are charged on purchases of food, goods, and even services. Taxes are also taken out of payroll checks each pay period and deposited into government accounts for use later. And lastly, at the beginning of the year when income tax is due, if an individual has done what is necessary, they will end up with a refund. If not, they can end up with a high tax repayment bill that leaves them wondering what went wrong. What if, however, there was a way to change the Nation’s taxation system? Would it be worth it to an individual to pay more for items instead of paying taxes at the end of the …show more content…
Seniors and low-income families would suffer the most if a National Sales Tax were imposed. Seniors receive a majority of their fixed income from Social Security and supplement their income with savings. Since they have already “been taxed once on their earnings, they would essentially be taxed a second time on purchases.” (6) There are ideas though on ways to make exceptions for seniors so that they do not get taxed a second time. Lower-Income Families would also be affected because they receive benefits and credits, reducing personal taxes, however, they would possibly lose these if the National Sales Tax were adopted. A National Sales Tax would require them to pay more out of pocket towards food or services, reducing their monthly income. However, the National Sales Tax could reverse this problem by enticing individuals and families to consume less This will allow them to not only build savings but also lower the cost of goods and services because there will be less of a demand for them. The individuals of the United States will ultimately benefit from a decrease in the cost of goods and services regardless of their income status. In conclusion, there have been many arguments about the effects of a National Sales Tax. Those who oppose it say that it is too risky, causing harm the economy, significant job-loss and burden those that cannot afford necessities. Those who are for it argue that a National Sales Tax would do the exact opposite and plead for a change in the way America taxes its people. Therefore, in these uncertain times, especially for the future of the government, why not take a chance and try a National Sales
According to the data obtain from the United States Census Bureau; the state of Texas received the amount of $ 24,500,909 in sales tax revenue in the year 2012, Tennessee $6,512,352, and Utah $1,857,055. The sale tax in Texas percentage is “6.25 % to 8.25% depending on the local cities; Tennessee charges “7%, but the number can vary from 1% to 2.75 %”; Utah is “4.70% to 7.95%. Texas population is approximately 26,06 million; Utah 2,855 million, and Tennessee is 6,456 million by 2012; These numbers show that the state of Texas is bigger in size and population than Tennessee and Utah; however the sales taxes revenue is lower han Tennessee, but higher than Utah’s.
Proposition 30 (prop 30 or SB11) is supported by the schools and local public safety protection Act of 2012. Prop 30 is a tax initiative led by California governor Jerry Brown. Prop 30 is aimed at reducing forecasted budget cuts to public schools also higher education, by increasing the California sales tax from 7.25% to 7.50%for the next four years. It also will create three new tax brackets for taxable incomes. Incomes exceeding $250,000, $300,000 and $500,000 will pay more in taxes for the next seven years. With the extra money being saved will go towards adding more classes for higher education students. Also to help reduce California’s state budget, prop 30 should raise $6 billion annually form raised taxes.
Should the American tax system remain the same, where individuals’ income is taxed based on how much one makes with loopholes and deductions? Should we consider a system that would eliminate progressive income taxes, taxing everyone at an equal rate through the Flat Rate Tax, or should taxes be collected through national consumption of retail goods and the Fair Tax System? Our current system of taxation is a varied percentage rate based on different income brackets. Many say that it violates our constitutional rights through unequal taxation. Multiple deductions, loopholes, special rates, and a complex system of regulations all characterize our Federal Income Tax System, prompting many to question why it is still being used (Peters, 2013).
The FairTax Act will replace these costly, oppressively complex and economically inefficient taxes with a progressive national retail sales tax, which would be levied on the final sale ...
The tax policy in the United States is very confusing. When the tax policy was originally written in 1913 it was four hundred pages. Now, over the past ninety one years, that tax policy has evolved to over 72,000 pages. Since the tax code has become so lengthy and nearly impossible to understand, the topic of tax reform has been in the minds of many. Although, most barely think about tax reform until tax season. It is a controversial subject due to the impact a change in tax code would have on the American people. The two most popular and widely known stakeholders in this debate are the two major political parties in the United States, the Democrats and the Republicans. The two parties share absolutely no common ground on the subject of tax reform, other than thinking the other parties solution is wrong. The Democrats, in general, want to raise taxes on the wealthy, while Republicans, generally, want to cut taxes for everyone (Democratic Party) (GOP). Unfortunately, with the United States economy currently doing so poorly, the parties can no longer afford to remain at a standstill, some sort of compromise is going to have to be made. The implementation of a flat tax, and discarding the current tax system would be a compromise that both parties can agree on and will simplify the tax code, overall benefiting all Americans.
A. First and foremost it would shift the burden of taxes from the rich to the middle-class
Governments would just be continuing to cause problems because another huge problem in America is there are already way too many people without jobs. When going to the store to get a soda, is there really much to think about when drinking sweetened goods has become a part of an everyday lifestyle. Why would someone suddenly put a tax on something which so many have loved and became addicted to. If there was a tax put on everything people have come to love there would be a huge tax for everything. Bittman does not think that putting a tax on sugar sweetened beverages would affect the jobs of people because he believes it would get made up by the selling of their other products. However it is important to realize that most places would not be passing this until 2018. Although, people really do need to realize what these sweetened products are doing and the reason why taxing for these goods is not looking so
As an opponent to the new proposal, I believe that sales taxes should not be used for the construction of a new ballpark in Seattle. One of the reasons that supports my belief is that increasing the sales taxes would represent US$750.00 per five-person family over the twenty-year period of tax. Another reason is that a family building a new home in the Seattle area will be extremely affected by the increased tax because this tax will raise the building cost by $200. Finally, there will be a $250 million tax increase for the residents of the Seattle area. Therefore,
The current tax system that the United States uses contains several flaws. First of all, it is very complex. It is comprised of many various variables that can create loopholes. These loopholes can cause two equal income families to be paying very different tax rates. In fact, there are 480 different types of tax forms (Website). The current tax system is also very unfair for the wealthy. Because it is a progressive tax, it is higher for people who have higher incomes. People should not be punished for being successful. If a flat tax policy were instituted, then it would simplify the complicated tax system, create fairness within the economy, and promote a desire to thrive financially.
The use of taxes is one of the government's favorite ways to make its presence known in the economy. While this method seems blatantly obvious, many of the ways the government uses the money collected by taxation is not. Some of the money it takes is used to fund other programs designed to "protect" consumers and to "create" jobs. Be...
No matter the individual, everyone can and does go to a grocery store. A grocery store is not only a place to buy food and supplies but to socialize with other people. Individuals buy all the food and supplies at the stores, therefore, we shouldn't have to pay for the bags our supplies go into. If stores added a tax to the bags used to carry purchases, many negative situations could be created. Grocery stores should not require a payment for the bags needed to carry the buyer's supplies.
We see this every time we make a purchase, taxes are a part of everyday spending. Taxes come in many forms, from income tax, to sales tax, to property taxes. As citizens of the United States, it is a requirement for us to pay our due share, and this comes in the form of taxes. The impact from taxes grossly affects the both personal finances and the economy on a grand scale. So why does the government require us as citizens to pay taxes? Well according to the article why do you have to pay taxes?
The legalization of marijuana will have a huge impact on the economics of the United States to the point that I feel that government will assist in the continuation of these companies. If it is passed in the government the selling of marijuana could generate millions of dollars in tax revenue. Colorado is the latest state that has approved the selling of marijuana for recreational use. This topic has been tossed around by the officials for years now. Legislators in Colorado have “consider excise and sales taxes on marijuana of up to 30 percent combined” (Frosch, 2013). With the rapidly growing market and marijuana industry rules and regulations had to be put into place. Even this tax charge needs to be implemented and enforced. “These taxes are set high enough to finance the administration of new laws, but not so high that customers are driven back to the black market” (Frosch, 2013). There are many financial benefits as a state can help pay for the enforcement and other fundamental issues. One bad thing about taxing so high is that you can simply crowd out the regulated market. It is important to find the right balan...
It would view each individual equally and not punish those more successful financially with disproportionate tax rates to those who make less money. Viewing a rich man differently from a poor man is antithetical to Judeo-Christian values and accordingly is less fair to the American citizen that works hard to live comfortably. Using the national sales tax would make tax collection blind of the financial status of any person, rather, it would only focus on the product being bought. That means no person would essentially be cheated out of a large portion of their hard earned money. All the money they provide to the government would come from their personal decisions to purchase items.
However if only indirect taxes are implemented, the revenue could be useful to fund not only negative advertising, the consumers who wish to relieve the taxation burden could change to other uses to carry their groceries such as a shopping bag that can be used over many times.