Comment on Saint Luigi
Dragon@lemmy.ml 2 weeks agoI understand that it saves money overall. I don’t understand how it could save money for individual high-income tax payers. At some warming level, your taxes will be raised by more than you would pay for insurance. Even under a dollar tax, that has to be the case, right? You would need a regressive tax to actually make it beneficial to every single resident.
Depends exactly on what is taxed. Regardless, the tax increase would be so low that moving is almost certainly not paying for itself. The government could also just increase taxes by a flat amount rather than a flat rate.
Point is, there’s plenty of options that give zero reason to assume capital flight will happen.
a flat amount rather than a flat rate So a regressive tax
Yes.
I would prefer a progressive tax which would be easier to do on the national level.
orrk@lemmy.world 1 week ago
ok, why should I care about the well off not getting to be quite the leaches they are now?
Dragon@lemmy.ml 1 week ago
Under current economic conditions, economic wealth is necessary for the functioning of the economy. Some (including me) would advocate for a redistribution/government seizure of capital, but I don’t know of any economist who doesn’t see it as a problem if the wealth is lost altogether. If taxes are imposed on a national level, it is less likely that the wealthy will flee to other countries than it is if they are imposed on a state level. Unless the government seizes all capital, there will always be a risk of losing that wealth to emigration.
orrk@lemmy.world 1 week ago
is it required? to an extent, yes. but do we need 60% of everything to be owned by 10% of the population?
As for the Capital flight, that is a myth, even the implementation of straight wealth taxes don’t see great multimillionaire migrations, because taxation isn’t a very strong factor, in fact a golf course or tow is a stronger pull, example Scotland vs Ireland when the UK was still part of the EU saw more ultra wealthy live in Scotland, a region with a higher tax rate, than Ireland, primarily for golf courses.
Dragon@lemmy.ml 1 week ago