Flat tax or Fair tax?
Currently America uses a progressive tax system. Progressive
tax system has people pay different percentages based on how much they make annually.
There are different tax brackets that determine what percentage that people of
a specific income pay. People are not happy about America’s tax system. The major
plans that people think could work instead of a progressive tax, flat tax and fair
tax both make claims that they are fairer than the current tax system.
Flat tax puts a
single tax rate on all people no matter their income. Wither you make $20,000 a
year or $100,000 you would pay the same percentage. People with a higher income
will have to pay more, but they are still paying the same percentage. With a
flat tax people who make less money pay less money. It is similar to our current
tax plan, except it has the same rate. Fair tax does not tax the income of
people. With a fair tax you are taxed on what you buy, not what you make. To make
sure poor people can make it in the world with a fair tax the government will
send them a check back to pay for the tax expenses.
I think that a flat tax is the best. I really don’t understand
the way a fair tax would work. If the government is paying back the money they
make in taxes, I don’t see how they are going to make much money. I have heard
of a flat tax and know more about it. That is probably why I favor it over the
fair tax. I honestly don’t have many complaints on our progressive tax. All I know
is that these tax plans will make it a lot easier and have less paperwork than
our progressive tax. With a flat tax you want need to find your tax bracket,
and it won’t take as much time to file your taxes.
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