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The failure in the thinking of those who take your position is that a man should benefit from everything he earns. But then you also want inheritance to be tax free...which is giving someone something they didn't earn at
all.
I think the wealthy are divided on this issue. The ones who think about it figure out how to mitigate the effects anyway.
Not so long ago though, commercial interests were often family affairs. Ones that became spectacularly big now have a problem. Often, the family members all contributed to the business, but in the end the patron or matron of the family owns the business. When it's family, the rules are different. It's a family affair.
I guarantee you the 80 year old owner of the restaurant, farm, retail store, small manufacturer is no longer the person that's getting it done every day.
Too bad, you say. A tax is owed. But a tax on what? How many family businesses have good years and bad years? What's the basis in land that's been in a family for 100+ years. Besides the tax returns, were accounting records ever kept? A family just lost its leader and if it's unprepared, the estate tax can be potentially ruinous to families that now suddenly are emotional and they need to change how they do business to appease someone in Washington DC.
Still, it's the weakest argument on the GOP side in my opinion. However, before labeling them too harshly, consider another alternative. The year you first file a tax return not as a dependent on someone else....should you also need to have a documented and verifiable basis of all of your assets and inputs spent on your behalf (as you obviously didn't EARN that upkeep you received as a child....and worse, didn't pay taxes on it then like the patron did as they earned the money in their business) and then be forced to pay an independence tax? Should your caretakers be forced to pay a gift tax?
The estate tax is a money grab, pure and simple, on estates that don't figure themselves out before someone dies. It hopefully keeps the lions share of estates from reaching the probate courts in an unorganized manner. I'd much rather have them rid AMT, but I'm sure the law will change several times before it's my time. I just hope I don't become senile and put my family through that hell.
Bill and Larry start work at the same company, doing the same job, on the same day. Both make the same wage, buy houses in the same neighborhood at the same time for the same price, drive the same cars, have the same number of kids, etc., etc. In other words, their economic situations are as similar as they can possible be.
Both have $12,000 in discretionary income each year after all the bills are paid. Bill spends all of his discretionary income on lavish vacations and extravagant gifts for his family. Larry takes his family camping at state parks and buys nice but modest gifts for his family, leaving $8000 that he invests in mutual funds that return 6% each year.
When they both retire after 40 years Bill has nothing, Larry has $1.2 million.
Now, please tell me why you think Larry should give Bill $600,000.
That's not what the OP is proposing. Actually, the OP hasn't said what s/he was proposing, exactly. But my guess is that the OP isn't talking about workers making the same amount. This is a bizarre example you bring up. The Op probably has in mind Bill and Larry, on the assembly line, paying lower taxes than the owner of the assembly line, who currently is getting paid 10 times more than Bill and Larry.
Example: why shouldn't Bill Gates pay 60% of his income in taxes, like the parents or grandparents of some of the people posting here did? Or like their parents' doctor used to? What, Bill would actually miss two billion out of the 3+ that he makes? He can't live on 1 measly billion/year? No, he wouldn't miss the money. That much is clear, because he's offered to pay off the US national debt. So we know he wouldn't really mind being taxed more.
My guess is that that's the sort of thing the OP had in mind, when starting the thread. But it would be nice if the OP could come back to their own thread, and clarify what the opening post is about. It's only been, what, 3 days since the OP created the thread... It makes one wonder if the OP is all that interested in the topic, or was more interested in just stirring things up.
Your issue is with large public Fortune 500 companies. Ones who focus on quarterly short term results and stock price appreciation. As a result a lot of a public CEO’s compensation is in shares and options.
CEO pay is determined by the board. The board is voted on by the shareholders. That’s how it works in public companies. If company performance is poor and the board votes for a huge raise they should be fired. And also the CEO.
Across ALL companies in the US, the average CEO salary is around $150K. Fact.
It didn't used to be. When capital gains were taxed at a higher rate than now, and the tax rates ranged well over 50%, executive pay was much lower. Was the tax rollbacks of GW Bush, mainly, that incentivized and enabled runaway executive pay.
But yes, you're right about small business owners, who always seem to get squeezed.
That's not what the OP is proposing. Actually, the OP hasn't said what s/he was proposing, exactly. But my guess is that the OP isn't talking about workers making the same amount. This is a bizarre example you bring up. The Op probably has in mind Bill and Larry, on the assembly line, paying lower taxes than the owner of the assembly line, who currently is getting paid 10 times more than Bill and Larry.
Example: why shouldn't Bill Gates pay 60% of his income in taxes, like the parents or grandparents of some of the people posting here did? Or like their parents' doctor used to? What, Bill would actually miss two billion out of the 3+ that he makes? He can't live on 1 measly billion/year? No, he wouldn't miss the money. That much is clear, because he's offered to pay off the US national debt. So we know he wouldn't really mind being taxed more.
My guess is that that's the sort of thing the OP had in mind, when starting the thread. But it would be nice if the OP could come back to their own thread, and clarify what the opening post is about. It's only been, what, 3 days since the OP created the thread... It makes one wonder if the OP is all that interested in the topic, or was more interested in just stirring things up.
Shut the front door...
First off, Bill Gates could just move to Canada. I'm pretty sure any country in the world would be willing to take him.
Secondly...do you realize how much good he is doing around the world? The man is donating his fortune to trying to improve the lives of the world's most needy individuals. It's not just money. He's a man of talent and organization. He and Warren Buffett have a slew of people looking to pool resources in areas to end problems. Like end them for real, not sell crap and raise awareness.
Do you really think Trump and Congress are going to spend the money more wisely? You have a man who made his billions creating a product used in almost every company around the world who now wishes to devote his time, energy and considerable resources to helping people.....and that's not ok?
Nobody wants the US to become a starving socialist paradise...not even those that think they do.
In a world where the “wealthy” become “richer” and the working class strive to get by, should there be a redistribution of wealth to put everyone on an equal footing?
Aren’t we just playing a game when we talk about “balancing budgets” and paying off “government debt”? After all, it’s not like we’re going to be wealthy in the event that this debt ever does get paid off.
Let’s wipe the debt clean, redistribute wealth equally and start over!
Wouldn't matter. History repeats itself. It wouldn't be long until we would be right back to where we are now with the same people having money and the same people being paupers.
First off, Bill Gates could just move to Canada. I'm pretty sure any country in the world would be willing to take him.
Secondly...do you realize how much good he is doing around the world? The man is donating his fortune to trying to improve the lives of the world's most needy individuals. It's not just money. He's a man of talent and organization. He and Warren Buffett have a slew of people looking to pool resources in areas to end problems. Like end them for real, not sell crap and raise awareness.
Do you really think Trump and Congress are going to spend the money more wisely? You have a man who made his billions creating a product used in almost every company around the world who now wishes to devote his time, energy and considerable resources to helping people.....and that's not ok?
Nobody wants the US to become a starving socialist paradise...not even those that think they do.
Canada would tax him more than the US. So would most European countries.
Of course I know how much good he's doing. He could still do that, if 1/2 or even 2/3 of his income were paid to the IRS.
Would the federal gov't spend the money more wisely? Are you aware that Trump just slashed the budget of the State Dept., and eliminated a significant number of ambassador positions? And what did he do with that "savings"? He earmarked it for himself and other high earners. Our diplomatic service, our infrastructure at home, our PELL Grant fund for college scholarships, our science and medicine R & D, our schools and state governments, all need to have their funding restored to functional levels. The electrical grid nationwide needs maintenance and repair, water delivery systems, bridge repair, train tracks are at risk of causing more accidents due to neglect, the list goes on and on.
In a world where the “wealthy” become “richer” and the working class strive to get by, should there be a redistribution of wealth to put everyone on an equal footing?
Aren’t we just playing a game when we talk about “balancing budgets” and paying off “government debt”? After all, it’s not like we’re going to be wealthy in the event that this debt ever does get paid off.
Let’s wipe the debt clean, redistribute wealth equally and start over!
Nope. If you start redistributing wealth, either there won't be any wealth to redistribute, or it will go back to the wealthy anyway, because they are the ones who were smart enough to create it in the first place, and they will be smart enough to get it back.
It will not happen. The best thing people can do for themselves, is to learn how to create some wealth for themselves by legitimate means (i.e. get a job).
I think it is a great idea. I know there are some rather wealthy people on these forums. If every one of them who make 150,000 dollars per year or more would send me $1200 every year ($100 per month), I could live in the style to which I would like to become accustomed.
I didn't answer because I'm trying to figure out were Larry and Bob work and how I can get on.
Nope. If you start redistributing wealth, either there won't be any wealth to redistribute, or it will go back to the wealthy anyway, because they are the ones who were smart enough to create it in the first place, and they will be smart enough to get it back.
It will not happen. The best thing people can do for themselves, is to learn how to create some wealth for themselves by legitimate means (i.e. get a job).
Which is hard as hell, but a anybody ot there, or hasn't been in a long time, doesn't know that. My mom makes $23 hr, I'm surprised she can do what she can. My granny is 80 years old, still working with littlw to show for it and she isn't just making it rain. They're just getting by. So somebody who's been working for twenty something years, despite helping me out @ $23 hr, and somebody who's been working...well...she's 80, born in 1937...say...sixty years should have decent wealth, right? Their houses aren't even paid off, and my granny had hers way before my mom had hers. There is talks of things like retirement and 401ks being nothing but lore. You can kinda tell what class somebody is with these discussions. Well my mom is working on getting her own cleaning business. Some forget you gotta start with money to make money, and if you barely have the money...well...here we are. As far as myself; I can't expect people to relate to my financial situation and struggles.
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