Jacob Van de Putte
AP/Honors English 3
Researched Argument Essay
03/02/2015
The Flat Tax
There are two things certain in life: death and taxes. They are both two inevitable things that will happen to everyone. But today we will not be discussing what happens after death but instead whether or not flat tax is a good idea.
Flat tax is favored because it gets rid of double taxation. Double taxation is when corporations are considered their own entities. The corporation pays taxes on their earnings then all of their employees pay taxes on their earnings as well. When corporations give dividends out to shareholders, these earnings are then taxed again.
The flat tax also eliminates capital gains tax and the death tax. Capital gains tax is the tax …show more content…
All of the income is taxed at the business level instead of the individual level.
The flat tax system only allows for taxation on income made within national borders. This means that if someone were to make money in for example Europe, this income would not be taxed in the United States because it was income made outside of the countries borders. This part of the system is important because this allows the United States to compete with other countries more evenly in global markets.
This system is the most fair way of doing taxes. This system allows for someone who makes $300,000 a year to pay the same percentage of tax as someone who makes $10,000 a year. The taxpayer making $300,000 a year will pay more in tax but it is still the same percentage. This system does not discriminate taxpayers based on their income level and everyone pays the same …show more content…
It would be easier for people to understand and complete. Currently the tax system can take hours to complete. However with the flat tax, a taxpayer can complete their taxes in minutes. There is no need to pay taxes on every source of income you make whether it be from selling shares, salaries, or inheritance. The flat tax is a superb solution because it makes paying taxes a much simpler process.
Works Cited
Meehan, Colette L. "Pros & Cons of a Flat Tax." Small Business. Chron, n.d. Web. 25 Feb. 2015. <http://smallbusiness.chron.com/pros-cons-flat-tax-4210.html>.
"Double Taxation." Investopedia. Investopedia, n.d. Web. 25 Feb. 2015. <http://www.investopedia.com/terms/d/double_taxation.asp>.
"Estate Tax." IRS. IRS, 09 Jan. 2015. Web. 25 Feb. 2015. <http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Estate-Tax>.
"A Flat Tax: the Good, the Bad and Why It Probably Won't Happen." MoneyTalksNews. MoneyTalksNews, 11 Feb. 2014. Web. 26 Feb. 2015.
AP/Honors English 3
Researched Argument Essay
03/02/2015
The Flat Tax
There are two things certain in life: death and taxes. They are both two inevitable things that will happen to everyone. But today we will not be discussing what happens after death but instead whether or not flat tax is a good idea.
Flat tax is favored because it gets rid of double taxation. Double taxation is when corporations are considered their own entities. The corporation pays taxes on their earnings then all of their employees pay taxes on their earnings as well. When corporations give dividends out to shareholders, these earnings are then taxed again.
The flat tax also eliminates capital gains tax and the death tax. Capital gains tax is the tax …show more content…
All of the income is taxed at the business level instead of the individual level.
The flat tax system only allows for taxation on income made within national borders. This means that if someone were to make money in for example Europe, this income would not be taxed in the United States because it was income made outside of the countries borders. This part of the system is important because this allows the United States to compete with other countries more evenly in global markets.
This system is the most fair way of doing taxes. This system allows for someone who makes $300,000 a year to pay the same percentage of tax as someone who makes $10,000 a year. The taxpayer making $300,000 a year will pay more in tax but it is still the same percentage. This system does not discriminate taxpayers based on their income level and everyone pays the same …show more content…
It would be easier for people to understand and complete. Currently the tax system can take hours to complete. However with the flat tax, a taxpayer can complete their taxes in minutes. There is no need to pay taxes on every source of income you make whether it be from selling shares, salaries, or inheritance. The flat tax is a superb solution because it makes paying taxes a much simpler process.
Works Cited
Meehan, Colette L. "Pros & Cons of a Flat Tax." Small Business. Chron, n.d. Web. 25 Feb. 2015. <http://smallbusiness.chron.com/pros-cons-flat-tax-4210.html>.
"Double Taxation." Investopedia. Investopedia, n.d. Web. 25 Feb. 2015. <http://www.investopedia.com/terms/d/double_taxation.asp>.
"Estate Tax." IRS. IRS, 09 Jan. 2015. Web. 25 Feb. 2015. <http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Estate-Tax>.
"A Flat Tax: the Good, the Bad and Why It Probably Won't Happen." MoneyTalksNews. MoneyTalksNews, 11 Feb. 2014. Web. 26 Feb. 2015.