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Reply #14: More thought experiments--look at what happens when the rich make more: [View All]

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mistertrickster Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Nov-01-08 12:06 AM
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14. More thought experiments--look at what happens when the rich make more:
Scenario C—

You make one million dollars and the other ten people make 10,000.
You are taxed at a 10 percent rate and so is everybody else.

100K + 10K = 110K

You pay 91 percent of income taxes collected.

Scenario D—

You make two million dollars and everybody else makes the same 10K.

The tax rate stays the same.

Now what happens to your percent of income taxes collected?

200K + 10K = 210K

200/210 = 95 percent

You pay more because you make more. DUH. That's why they call it INCOME tax.

*****

How many rich people will forgo making that second million so that their share of the income taxes collected doesn't rise?

Uhhh . . . how about NONE?
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