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Sunny_sXe [5.5K]
3 years ago
12

“[A] flat tax is simple, fair, and good for growth. Instead of the 893 forms required by the current system, a flat tax would us

e only two postcard-sized forms. . . . Unlike the current system, which discriminates [treats some people differently] based on the source, use, and level of income, a flat tax treats all taxpayers equally, fulfilling the ‘equal justice under law’ principle. . . . And unlike the current system, which punishes people for contributing to the nation’s wealth, a flat tax would lower . . . tax rates and eliminate [get rid of] the tax bias [discouragement] against saving and investment, thus ensuring better economic performance in a competitive global economy.”
—from “A Brief Guide to the Flat Tax,” The Heritage Foundation, July 7, 2005

(a) What is the author of this excerpt proposing? (b) According to the excerpt, how is the current progressive tax system unfair? (c) How would going to a flat tax system from a progressive tax system change the way income taxes are collected?
History
1 answer:
Fantom [35]3 years ago
3 0

(a) The author of this excerpt is proposing that the flat tax is a simpler system than using 893 forms required by the current system.

(b) The currently system is unfair according to the excerpt, explaining how the current progressive tax system discriminates based on the source, use, and level of income.

(c) Switching from a progressive tax system to a flat tax system would lower tax rates and get rid of tax bias. Which is discouragement against saving and investing. The performance in a competitive global economy will better.

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