Is it fair to levy higher taxes on rich people?
It is fair to levy higher taxes on rich people?
India is facing with the problem of higher fiscal deficit from a long time. The government always wants its citizens to be responsible enough towards the tax payment. However, people keep on finding the various ways to evade taxes. Taxes are very important source of revenue for any country. They are charged as per the income slabs. The more people earn, the higher taxes they are required to pay. In such a scenario it becomes obvious for the participants to expect that higher taxes should be levied on rich people. Do you think it is fair?
Yes
• Rich have the money and resources that are more than the required limit. Government has every right to levy higher taxes to such people.
• There are different slabs as per which people are required to pay the taxes. So, there is no harm in making the changes as per the time and requirement.
• Levying higher taxes on the super rich can help the government to better manage its mounting fiscal deficit.
• Levying higher taxes on the super rich is an effective way to reduce the widening gap with haves and haves not. It will help to bridge the expanding wealth gap.
• The country has a lower maximum marginal rate as compared with the other countries like US and the UK.
No
• Just because the rich have more money doesn’t makes them the victim who are bound to pay more taxes.
• The taxpayers’ percentage of people in India is very poor. It is important to improve the taxpayer percentage rather than taxing higher on Richie rich.
• The top slab of taxes and the indirect taxes are already eating almost 50% of income of the affluent people.
• Taking the taxes from the rich and distributing in the poor will in case not solve the problems in the longer term.
• The rich people are earning because they have put in that much of investments to get at such level. They deserve the benefits, not the higher taxes.
Conclusion
The solution for any problem should be the one that doesn’t favors or harms one particular segment of the country. However, levying higher taxes on rich is the injustice towards them. They are already paying as per the progressive slabs. They are getting more because they have higher investments at risk. Also, levying higher taxes on rich will not permanently solve the problems faced by an economy.
Discussion
- RE: Is it fair to levy higher taxes on rich people? -sinu (06/03/14)
- no it should not be actuually because india is now so much corrupted that the real rich men are nt correctly being identified.The private service holder are paying taxes which have the same income as that of the common business men or a govt. officer but they are showing false income cert. and are nt paying the correct amount of tax.so first the rich and poor should be categorised first
- RE: Is it fair to levy higher taxes on rich people? -Vikas (06/03/14)
- Is it fair or ont its depend on the goverment because govt.have to decide how taxes is taken to the pepoles . If the rich persons is always give a particular taxes in time and no black money so no need to levy taxes but if rich person is not paying a taxes at particular manner and also have a black money so govt.had to levyy higher taxes .
if govt do this then no one rich pepole is stolen the taxes.
- RE: Is it fair to levy higher taxes on rich people? -deepak (06/02/14)
- Our country is a poor country with high poverty.Country in which rich's are more richer and poor's are more poorer So putting more taxes on rich is justified .It will mantain for government for high revenue.
and also tackle with fiscal deficit.It will also develop rich and poor gap .Bcoz rich people's are doing crony capitalism that cause more richer richer so to putting more taxes it will reduce our poverty. - RE: Is it fair to levy higher taxes on rich people? -Deepa Kaushik (05/29/14)
- Indian Government first need to identify the original rich and poor person. Many rich people didn’t get into the taxation slab, and many poor gets burdened with undue tax. On the first instance, we need to make everyone pay the correct tax amount without playing with their finances to hide their income.
The whole lot of black money when gets in to the taxable slab, then we can come on to the current topic of levying higher tax from the rich. The day when the black money gets in to the taxable slab, then many of the poor Indians will be categorised as rich and eventually, the current rich will become poor with respect to these new rich men.
If these amendments are successfully made, then yes, it is very much appropriate to levy higher tax from the rich people. This could be the only possible way out to get Indians on a somehow uniform platform with respect to their finances. In a country like India, with a huge population, it is not possible for the government to provide aid to the poor sections unless the money is extracted from the pockets of the rich.
Thus, the policy should be made in a way to calculate the percentage from the total income, which includes all their taxable, non-taxable and black money, as the tax amount of the particular individual. This would be more appropriate if the reservations are kept apart from this scheme, considering every citizen equal before law and uniting everyone under the common head of our nationality, to have a uniformity of the economic status among the Indians.
