Progressive Taxation Rates
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Progressive Taxation Rates
Rose Anna Miller
SOC 120
Instructor: Linda Atkinson
July 1, 2012
Ethical Issues Associated with Progressive Taxation Rates
The current United States Progressive Taxation Rates are set periodically by the United States Congress and requires ratification by both houses and approval by the President of the United States. There are always two sides to look at our current progressive taxation rates, one would be as a Democrat and one would be as a Republican. I believe that it goes even deeper than just the two-party system. Having a progressive taxation rate is not in the best interest of most of the people who pay taxes in the United States. Even with those who pay a higher income tax due to their ability to earn more and those who earn less pay less, but what ends up happening is that those at the lower end of the pay scale actually get government assistance by receiving earned income credit. Therefore those on the lower end receive a refund from the government on other items that have nothing to do with the underlying issue that they earn less money.
The current progressive tax rates can be found and downloaded from the Internal Revenue Website. The current progressive tax rates are part of the instructions for the preparation of the federal individual income tax return, which are different for each tax year based on that tax year’s progressive tax rate. The 2011 current rates range from 10% for those who are at the lower end of the earnings scale to 35% for those at the top end of the earnings scale. There are caveats to the progressive tax rate, qualified dividends are paid at a 15% tax rate and capital gains vary because they are based on short-term holdings, which are less than one year, and long-term holdings, which are for more than one year.
The progressive tax rates also include extenuating circumstances for different filing statuses such as if you are single, married and filing jointly, married...
Rose Anna Miller
SOC 120
Instructor: Linda Atkinson
July 1, 2012
Ethical Issues Associated with Progressive Taxation Rates
The current United States Progressive Taxation Rates are set periodically by the United States Congress and requires ratification by both houses and approval by the President of the United States. There are always two sides to look at our current progressive taxation rates, one would be as a Democrat and one would be as a Republican. I believe that it goes even deeper than just the two-party system. Having a progressive taxation rate is not in the best interest of most of the people who pay taxes in the United States. Even with those who pay a higher income tax due to their ability to earn more and those who earn less pay less, but what ends up happening is that those at the lower end of the pay scale actually get government assistance by receiving earned income credit. Therefore those on the lower end receive a refund from the government on other items that have nothing to do with the underlying issue that they earn less money.
The current progressive tax rates can be found and downloaded from the Internal Revenue Website. The current progressive tax rates are part of the instructions for the preparation of the federal individual income tax return, which are different for each tax year based on that tax year’s progressive tax rate. The 2011 current rates range from 10% for those who are at the lower end of the earnings scale to 35% for those at the top end of the earnings scale. There are caveats to the progressive tax rate, qualified dividends are paid at a 15% tax rate and capital gains vary because they are based on short-term holdings, which are less than one year, and long-term holdings, which are for more than one year.
The progressive tax rates also include extenuating circumstances for different filing statuses such as if you are single, married and filing jointly, married...