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The existing US Federal Tax code is the best example of "redistribution of wealth" (after all, it takes the power of government to take the income of one group and redistribute it to another group). The Federal Income tax is "progressive" in that it taxes higher incomes at a higher rate than lower incomes --- by definition this is redistributive. A "Summary of Federal Individual Income Tax Data for the year 2005" (the most recent data available from the Internal Revenue Service reveal that: Top 1% earned 21.20% of all incomes reported, but paid 39.38% of all income taxes. The top 5% earned 37.75% of all incomes, but paid 59.67% of all income taxes. The top 25% earned 67.52% of all incomes, but paid 85.99% of all income taxes. The top 50% earned 87.17% of all incomes, but paid 96.93% of all income taxes. Source: Internal Revenue Service (as reported on www.taxfoundation.org) Essentially half of the country paid the entire federal tax bill for the other half. We have reached a "tipping point" where people paying no income tax have the electoral power to elect a leader who promises to "tax the other guy". This can progress to where we all agree to tax only Bill Gates and Warren Buffet.
What else can I help you with?
Methods of calculating national income?
There are three methods in calculating the national income. One is the net output method. Another is the income method, and lastly, the outlay method.
What are types of income redistribution?
Income redistribution can occur through various mechanisms, primarily through taxation and social welfare programs. Progressive taxation involves higher tax rates on higher income brackets, which helps to reduce income inequality. Social welfare programs, such as unemployment benefits, food assistance, and universal healthcare, provide financial support to lower-income individuals and families. Additionally, direct cash transfers, like universal basic income, can also serve as a method of redistributing income.
How many methods of GDP are there?
the methods for GDP is of 3 types 1.product method 2.income method 3.expenditure method.
What are the methods of calculating GDP?
expenditure approach and income approach & VALUE ADDED METHOD
What was the average income in 1930?
I've seen from a few sources that $114 a month was the average income in the 30's
What are the economic functions of government?
Providing legal structure, maintain competition, redistributing income, reallocating resources, and promoting stability
Methods of calculating national income?
There are three methods in calculating the national income. One is the net output method. Another is the income method, and lastly, the outlay method.
What are the different methods of preparing income statement?
There are two methods of preparing Income Statement. They are:- 1. Absorption costing method. 2. variable Costing method.
Income tax is considered to be what type of tax?
Income tax is considered a progressive tax because the tax rate increases as the taxpayer's income rises. This means that individuals with higher incomes pay a larger percentage of their income in taxes compared to those with lower incomes. It is typically levied on personal income, corporate profits, and various forms of earnings. The goal of a progressive income tax is to reduce income inequality by redistributing wealth.
What is national income accounting as a methods of national income?
Following are the method of national income accounting :-Product MethodExpenditure MethodIncome Method
What are the methods of Accounting for Branch?
branch accounting income statement
What are the methods of branch account?
branch accounting income statement
What are types of income redistribution?
Income redistribution can occur through various mechanisms, primarily through taxation and social welfare programs. Progressive taxation involves higher tax rates on higher income brackets, which helps to reduce income inequality. Social welfare programs, such as unemployment benefits, food assistance, and universal healthcare, provide financial support to lower-income individuals and families. Additionally, direct cash transfers, like universal basic income, can also serve as a method of redistributing income.
How many methods of GDP are there?
the methods for GDP is of 3 types 1.product method 2.income method 3.expenditure method.
What is presumptive tax?
Presumptive tax is a way of applying a tax using indirect methods. These methods may be income reconstruction, or other methods. This is a good way to ensure the tax is not avoided.
Why do different approaches yield the same net income?
The Income Approach is one of three major groups of methodologies, called valuation approaches, used by appraisers. It is particularly common in commercial real estate appraisal and in business appraisal. The fundamental math is similar to the methods used for financial valuation, securities analysis, or bond pricing. However, there are some significant and important modifications when used in real estate or business valuation. While there are quite a few acceptable methods under the rubric of the income approach, most of these methods fall into three categories: direct capitalization, discounted cash flow, and gross income multiplier.
What are the methods of calculating GDP?
expenditure approach and income approach & VALUE ADDED METHOD
