Wednesday, December 26, 2012
Tax rich
The income tax system is complex and difficult to understand and can be easily misrepresented to give a false impression. In order to simplify matters consider the example of ten men going into a restaurant to eat where dinners cost ten dollars. After they finish the waiter brings the bill of $100 to the table. The men decide to pay the bill using the same method that taxes are paid. The first guy pays $70 and the next four split the remaining $30 and the last five pay nothing. As they get ready to leave the waiter comes over and gives one of the guys who paid nothing a one dollar refund.
This one dollar is called Earned Income Credit and goes to people who pay no income tax.
Now I am all for taxing rich people but I can’t say it’s about fairness. I will be honest and say it’s all about getting those mean ole rich guys.
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