Quote:
Originally Posted by DevilsSon
Hello??? Where's the logic behind that? Who says what is important or not? Important is not an absolute term. Important in order to achieve what? to survive? You're probably right. To motivate, to increase productivity, to get a company going? Probably it's even more important than your first 50k.
|
Survival is more important than security - quite simple logic. And that second £50k should still be at a lower tax rate to encourage what you lifted. When it comes to yachts, business class travel etc.. These are luxuries. The money used to pay these is not as vital and therefore not worth as much.
Eg: If someone who was poor dropped a pound coin in a crowded place they'd be more likely to pick it up than someone who was earning a packet.
Why do you think the more wealthy eat at more expensive restaurants? Because £80 for a nice meal to them may be the equivalent of a McDonalds.
Quote:
|
And the "fairness" argument is just ridiculous. A progressive system is not FAIR. It discriminates against people who are high achievers. That's a fact and I don't think that any socialist in this world would disagree with me.
|
How does it discrimate?
As you become more wealthy, it is easier to get wealthier. If you earn £250k and lost lets say 30% of this in tax. You are left with £175k. You are hardly putting that person through hard times. Especially when that person can put so much more in tax free savings, diverse share portfolios, properties,even interest earning savings accounts. Each is still a lot easier to increase your wealth and you are still achieving much reward for your success. And creating far more wealth.
If you earn £30k and pay the same tax rate you are left with £21k. Just enough to pay the mortgage, car, and probably not a lot else.
And people earning £30k are probably not lay abouts.