Income tax rates are progressively in the majority of countries, with higher earners paying a larger amount of their income to the government than smaller earners. Why isn’t this done to support small businesses? Large companies do just fine with higher tax rates but it’s small businesses that keep the economy alive so they should get a lower tax rate to support them shouldn’t they? Or is there an underlying economic principle that doesn’t allow this to work.
P.s sorry about the yap
In: Economics
Because larger companies will just divide themselves up into smaller entities owned by the same people.
People can’t divide themselves, so you can have progressive tax on individuals
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