Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.2 9/18/84; site petrus.UUCP Path: utzoo!watmath!clyde!burl!ulysses!allegra!bellcore!petrus!hammond From: hammond@petrus.UUCP Newsgroups: net.legal,net.taxes Subject: Re: Abuse of social contracts. (tax system) Message-ID: <287@petrus.UUCP> Date: Thu, 14-Feb-85 08:19:10 EST Article-I.D.: petrus.287 Posted: Thu Feb 14 08:19:10 1985 Date-Received: Fri, 15-Feb-85 04:40:17 EST References: <2748@dartvax.UUCP> <445@ahuta.UUCP> <399@lsuc.UUCP> Organization: Bell Communications Research, Inc Lines: 27 Xref: watmath net.legal:1398 net.taxes:659 > In article <445@ahuta.UUCP> 45223wc@ahuta.UUCP (Bill Cambre) writes: > || Now if we had > ||tax reforms to a simple tax code where everyone just paid x%, I believe > ||fewer people will cheat and we will all be happier knowing everyone pays > ||relatively the same percentage. But that's another discussion. > > It sure is. A fixed percentage causes hardship for those with > low incomes. The progressive system of brackets and marginal > rates is perceived as the "fairest", and is used in both the > U.S. and Canada. > ... > Dave Sherman You're slightly unfair, he did mention in the next paragraph deducting the first y dollars of income, which makes it a slightly progressive system, presumeably, if you make the y large enough (say 5k/exemption) then low income taxpayers pay nothing. I'm not sure a progressive system is fairer! It came about in the US because when it was first started, it really only hit the upper class. With inflation a good deal of the middle class has moved into the progressive region. Also, in the US social security is a very regressive system, it only taxes the first $38000 (at 7%) of income. Rich Hammond