“Progressive Proportional and Regressive Tax System”

Throughout history, every organized society had twain(prenominal) form of government. In free societies, the goals of government have been to protect several(prenominal) freedoms and to promote the well-being of society as a whole. To achieve those goals and fit the expanses wholly governments need some revenue, and that revenue is raised most(prenominal)ly with measurees. In USA, governments levy several different types of tax incomees on individuals and businesses. The Federal presidential term relies mainly on income taxes for its revenue. State governments depend on both income and gross sales taxes. Most county and city governments use property taxes to raise their revenue.Nearly all tax body structures contain two basic parts the tax petty(a) and the tax rate. The tax base is the hail to which the tax rate is employ to determine the tax due. The tax rate is basically a component part rate applied to the tax base, and it evoke be progressive, regressive, or relat ive. progressive taxation refers to a tax that takes a tumescentr percentage from the income of high-income mountain than it does from low-income pack. And this is a basic principle underlying the income tax laws of the United States people should be taxed according to their ability to move over. For example, a person making $200,000 in a year might pay 30% of his income in taxes ($60,000), piece of music someone with an income of $30,000 might pay only a 10% tax rate ($3,000 in taxes). Most income taxes in US are considered progressive. What can be disadvantage of progressive tax? Well, some individuals may return that progressive tax is discouraging the success. Why to work hard, and try to addition income and wealth, when half of that will be taken away in taxes? It is only when unfair Because the taxes are then redistributed to poorer individuals through government incite programs, some see this as socialism.But despite opposition most economists believe that progress ive taxes are the best form of taxation, because the lower cast individuals, who are already socially and economically disadvantaged, are shielded from large tax burdens. A tax system may also be regressive or proportional. A proportional tax system, called sometimes jejune tax, is one where the rate of tax is the same for all taxpayers, regardless of the take aim of their tax base. Example of proportional taxes may be state and topical anesthetic sales taxes, real estate taxes, personal property taxes, custom duties etceteraAdvantages of flat tax can be its simplicity and predictability. Opponents declare that proportional tax is in reality a regressive tax, as both the lowly paid and highly paid individuals consume products. No consequence if they want to or not, they have to spend a certain amount on necessities like food, clothing, or pay property taxes, and flat tax takes up a higher percentage of an individuals cipher that has a low income, than it does for an individ ual with a higher income. A regressive tax system is one where a tax rate decreases with an gain in the income.The example of regressive tax is Social Security (FICA), because the level best amount of wages subject to the Social Security tax for 2009 is $106,800. afterwards an individual reaches $106,800, no more FICA tax is withheld. No matter what structure the tax system has progressive, regressive or proportional, most people arrogatet enjoy paying at all. Unfortunately taxes are inevitable, and refusing to pay them does not make sense. Thanks to them we can drive on the surface streets, seek the justice in court system, send children to public schools and be able to wake up every morning feeling safe.