Comments for The poverty level and tax at http://www.adamsmith.org , comment 1 to 3 out of 3 comments http://www.adamsmith.org Tue, 02 Dec 2008 12:26:26 +0100 FeedCreator 1.7.3 http://www.adamsmith.org/blog/tax-and-economy/the-poverty-level-and-tax-200807041655/#comment-545 With all due respect, Mr. Worstall, the 'poor' need to pay taxes too; unless you do not consider them to be citizens. Equality under G-d and before the law demands it. What should be done is lower the tax rate on everyone to the level that the 'poor' can afford to pay,. say 5% to 10% total, flat rate, no deductions and make it impossible for governments to increase that rate ever. Also, all business taxes and license fees above $10 per year should be eliminated, with licensing no longer being required to operate a business, craft, or occupation. Licensing should be like the Underwriter's Laboratory seal or other similar voluntary certification of quality. The government must then be made to survive on the rest, with the police, immigration & customs enforcement, courts, armed forces, and the suppliers of the arms to the armed forces getting first dibs and having their share protected so that any cuts come from slashing bureaucrats, bureaucrat's pay, politician's pay, 'social services', and other things that are not the proper function of governments. If, then, governments must sell assets to pay their liabilities, then so be it. If, then, there may be people who are down and out, any assistance is supplied by churches and other charitable organizations or by private citizens doing so on their own time and with their own dime. - Charles D Quarles Sat, 05 Jul 2008 16:27:22 +0100 http://www.adamsmith.org/blog/tax-and-economy/the-poverty-level-and-tax-200807041655/#comment-541 Taxation of minimum wage is nonsensical. Either the minimum wage is the minimum needed for a reasonable standard for life, in which case why tax it, or it is *after tax* the minimum needed, in which case it surely makes more sense to remove the tax and lower the minimum wage. This of course leaves aside the likely solution that it's just set arbitrarily, as the tax bands are separately. Every time the government raises minimum wage without raising the tax bands it is just voting itself more money. - JABITheW Fri, 04 Jul 2008 21:41:04 +0100 http://www.adamsmith.org/blog/tax-and-economy/the-poverty-level-and-tax-200807041655/#comment-537 Tim, I disagree with taking the poor out of tax. The more people experience the pain of a tax bill, the more they understand what their government is doing (i.e. pi$$ing most of it away). What I propose is that enough money is given out as a basic income, so that the poor can then afford to pay some tax out of it. I know that it seems mad to pay people benefits, only to take it back in tax, but it will connect people with the tax system, one of the key parts of our society. Similarly I would make subsidised housing charge market rent and pay the tenant enough housing benefit to pay the high rent - then they will appreciate what they are actually getting. The poorest people do not understand that the government spends taxpayers' money - they are not tax payers, so they think it is all free and place more and more demand on the system. If everyone was a taxpayer, there might be clamour for low taxes by everyone. - marksany Fri, 04 Jul 2008 10:44:40 +0100