In Favor of a Graduated Tax Essay examples

Submitted By beau_hutten
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Graduated Tax A graduated tax, or a “progressive” tax, is the type of Federal Income Tax whose rate increases as the individual’s income increases. Likewise, as the income of the individual decreases, so does the rate of the tax. The flat tax is just a set tax that is the same for all individuals regardless of income. Some would say that the more “sensible” option would be the graduated tax simply because the individual’s income is taxed accordingly, but others would argue that it’s not fair because the richer are taxed more and the poorer are taxed less. Relative to the flat tax, some would argue that it’s the more sensible option because all individuals are taxed at the same rate, or are taxed equally. Some would argue that it’s unfair because the poorer cannot afford to pay the tax because it asks for too much of their income. The flat tax, theoretically, is simpler and would leave less room for error and tax evasion and it may also encourage investment and expansion, as additional profit is not taxed at a higher rate. Some issues with the flat tax could be that it has the potential to shift the tax burden away from the rich to the lower middle class, as well as thousands of government employees and tax professionals would lose their jobs, or suffer a large decrease in business. On the other hand, a progressive tax, theoretically of course, could influence tax inflation which can push the taxpayer into a higher tax bracket, with no real increase in income after adjusting for inflation. On the positive side, progressive taxation shifts the tax burden to those who are most able to afford it and it also prevents political and social instability by limiting the gap between classes (in theory).
A graduated tax is supported in this group of moderates. We believe that it is a fair concept to apply a higher tax to those who have a higher income and a lower tax for those who have a lower income; it just makes sense. According to The Chicago Tribune, “…history supports progressive taxes; they were…