January 26, 2016 No.1
https://www.facebook.com/mehtarahulc/posts/10153253155271922
Why we need to have income tax and cant just live with wealth tax
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One reason I gave is ---https://www.facebook.com/mehtarahulc/posts/10153159307396922 .
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Another reason is --- a big portion of wealth one has is his own skills. And only way to tax that wealth is to tax income that that skill generates.
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Can we live without imposing tax on skills? And tax only material wealth?
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Well, development of skills and ability to use skills require police, courts, military. Without police , court, military --- the person with skills will be never be able to earn much income. And these days, govts end up investing a lot of money in creation of skills by funding primary to college education. So "taxing" skills isnt immoral. And govt has to pay for skills to sustain court, military, police etc. So taxing skills becomes necessary.
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But skill cant be valued and so imposing wealth tax on skill isnt possible.
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So when a skilled person earns income, that can be valued,. He may be able to hide some cash he earned, but he cant hide all. So income tax.is one way to tax the skills he has.
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So IMO, taxing material wealth alone will not be sufficient because govt needs both -- land as well as skills to run police , courts and military. And so taxing skills is needed.
https://www.facebook.com/mehtarahulc/posts/10153253155271922
Why we need to have income tax and cant just live with wealth tax
.
One reason I gave is ---https://www.facebook.com/mehtarahulc/posts/10153159307396922 .
.
Another reason is --- a big portion of wealth one has is his own skills. And only way to tax that wealth is to tax income that that skill generates.
.
Can we live without imposing tax on skills? And tax only material wealth?
.
Well, development of skills and ability to use skills require police, courts, military. Without police , court, military --- the person with skills will be never be able to earn much income. And these days, govts end up investing a lot of money in creation of skills by funding primary to college education. So "taxing" skills isnt immoral. And govt has to pay for skills to sustain court, military, police etc. So taxing skills becomes necessary.
.
But skill cant be valued and so imposing wealth tax on skill isnt possible.
.
So when a skilled person earns income, that can be valued,. He may be able to hide some cash he earned, but he cant hide all. So income tax.is one way to tax the skills he has.
.
So IMO, taxing material wealth alone will not be sufficient because govt needs both -- land as well as skills to run police , courts and military. And so taxing skills is needed.
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