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by vgetr 2437 days ago
Progressive tax structures are also arbitrary but I don’t see anyone here complaining about those.
2 comments

US tax code is in effect surprisingly flat and it’s stuck like that because it collects 27.1% GDP and nobody pays extreme rates. https://en.m.wikipedia.org/wiki/List_of_countries_by_tax_rev...

For an extreme example a homeless drunk spending most of their income on alcohol is paying a 40% tax for the privilege. Benefits are of course a separate issue, but few want to calculate benefits from free roads, Medicare, police, or Social Security as government welfare.

At the other end Bill Gates actual lifetime income is vastly higher than his taxable income due to the charitable tax deduction and capitals gains being deferred until sale.

1) Plenty of people complain about progressive taxation and advocate for a flat tax.

2) Progressive tax is not arbitrary. As income increases, a higher % of spending is discretionary. Nearly all of the working class’ income goes to basic necessities. That is part of the rationale.