what would happen if governments made billionaires actually pay the appropriate amount of tax based on their income?
In: Economics
Your question assumes what’s happening at the moment is not fair but provides no definition of what you think fair would be. That aside most billionaires are that on paper rather than getting billion dollar incomes.
For example they have a billion dollar company with assets but it also has overheads and liabilities. That company often provides many people jobs who’s income is taxed. If governments overly tax the company they will incentive outsourcing to overseas which will mean job loses and cost the government taxable incomes. It also could mean losing industries overseas to places like China.
There’s so many aspects to it and I’ve barely scratched the surface and kept thing exceedingly simple but hopefully you get the idea. I’m also not saying what’s happening now is perfect or even right but is not nearly as simple as what people make it out to be.
Latest Answers