Ska Lagos Jew Sun Ra

The rich don't even pay taxes. I mean, that is why they have Swiss Bank Accounts, you know.

Really, Rich people are geniuses at tax evasion. I heard at one point the owner of Coca Cola gave himself a 1$ a year wage, and made all of his money of untaxed stock gains(See that's why we have a stock market).

You could abolish income tax for the poor entirely. I mean, after all, if Bill Gates wanted to, he could probably send every citizen in America a thousand dollar check in the mail. Problem is, the sneaky ****s at the top know how to cheat the system. In fact, that's why our economy crashed in the first place.

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Burning Down

Steve Jobs does the same thing. He takes a buck for his yearly salary and makes the rest off of the 5-6 million shares he holds in Apple Computers. At the end of 2010, all of those stock holdings were worth approximately $2 billion. Two billion dollars of untaxed revenue!

Steve Jobs' salary is just $1, but his Apple stock is soaring - The Globe and Mail

That, and also the fact that American banks are not regulated by the government, so they can do whatever the hell they want when it comes to mortgage rates and investments. Also, the Federal Reserve is separate from the government, almost like a third-party actor, and it doesn't help that interest rates are determined by a non-governmental institution.

Janszoon

I don't actually think that's true.

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hip hop bunny hop

You ever hear of the Marginal Propensity to Save? Basically, the cost of living is (X) and income is (Y). (X) is constant, and the greater (Y) gets above (X), the lower % of income is spent.

So, someone making - say - $30k a year spends more of their income than someone making $250k a year, meaning Joe $30k is more stimulative for the economy. So, logically, taking 7% from Joe $30k has a starker economic impact than taking 14% from Mr. $250k.

While there are many problem with America's tax code, the "income tax" in the contemporary USA has devolved into, largely, a tax on working. It doesn't make sense to tax inheritance less than a paycheck, or dividends (for non-retirees).

It is problematic, but you're forgetting that "Temporary Assistance for Needy Families" (TANF, the program you mistakingly call 'welfare'), is not unlimited and has conditions that must be met for it to be dispensed. Welfare Reform under Clinton ensured that nobody can recieve Federal funds, from this program, indefinetely.

You're saying that the economic crisis was a result of the wealthy avoiding taxes, not a gigantic credit bubble which was international in scope?

1) Banks are regulated by the Federal Government, as well as State Governments. This is why smart shoppers take note of what State their bank calls home.

2) It's a good thing the Federal Reserve is not polititicized, otherwsie we'd have interest rates manipulated by politicians for crass, short term political gain. The last thing we'd want to do is subject monetary policy to the horrors of the election cycle.

TheBig3

Would 7% be the only tax or the only Federal Tax?

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Ska Lagos Jew Sun Ra

They are somewhat. That's why Swiss Bank accounts are so popular. They're anonymous, and tax free.

Perfect for your tycoon and druglord.

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Al Pacino = God

hip hop bunny hop

For ****s sake.

How does this money get to Switzerland without being accounted for? If they managed to sneak it in, how would they then manage to access the funds with no one noticing?

Gregor XIII

...

You do realize that we're not talking about dollar bills or gold bars or stuff like that? Transfer money from one acount into another. Done.

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Janszoon

And reported by the bank to the government.

__________________
A Night in the Life of the Invisible Man

Time & Place

25 Albums You Should Hear Before the Moon Crashes into the Earth and We All Die

last.fm

Burning Down

Everyone has a paper trail, and if you're going to be making a transfer from one account to another, or even just making a straight cash deposit into your Swiss bank account, there has to be a transfer number involved somewhere.