The Benefits of Progressive Taxation

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Thousands of years ago, in ancient Athens, the city was relatively a paradise, they had civilization, they had theater, they had the arts; they also had an absolute flat tax, everyone paid the exact same tax. If a citizen did not pay the tax, he or she would be sent outside the city which was likely a death sentence. For the vast majority of people, this tax was their greatest burden and caused terrible social problems. For centuries, ancient Athenians explored this issue and discovered a moral insight; there is no economic gain without civilization. Wealth, whether in the form of property or a business, cannot exist in a state of anarchy because others can just steal it from the owner. The moral theory was since an individual could only become wealthy in a civilized state, the greater the economic gain one has achieved from living in a civilized society, the greater the duty to maintain the society through taxation. When they invented taxation based on ability to pay, the ancient Athenians invented democracy. Societies which are totalitarian, dictatorial, and feudal tend to have flat taxation on their citizens. Similarly to the plight of the ancient Athenians, Americans are faced with the choice of an flat and progressive taxation. Americans must choose whether to abandon the crucial ability to pay tax principal or recognize the greater obligation of those who benefit the most from society to contribute the most, and should realize the Athenian principle of taxation. Progressive taxation is more effective than flat taxation.

In order to explore the issue of flat taxation compared to progressive taxation, some background knowledge is necessary for a more thorough understanding of the subject. The United States Constitution spec...

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...sion. When a police of taxation results in overall economic prosperity, the system is more effective because it benefits all of the taxpayers due to the improved economy. In addition, progressive taxation provides incentives for vital economic activities. The interest on home mortgage payments is a tax deductible on the personal income tax which encourages the purchasing of homes and provides aid to homeowners. Dependents, such as children, may reduce the level of taxation to support families across the United States. Said incentives would not be present in a flat tax because it requires all members of society pay the same percentage of their income regardless of socioeconomic standing. Progressive taxation is more effective because incentives help the individuals participate for important activities, while under a flat tax system, such incentives would not exist.

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