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Old 01-15-2007, 05:54 PM   #1
Papa
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Lightbulb Tax Code 101

WHEN EXPLAINED LIKE THIS, IT IS MUCH EASIER TO UNDERSTAND OUR CURRENT TAX CODE.


TAXING THE PEOPLE



SOMETIMES POLITICIANS, JOURNALISTS, AND THE LIBERAL LEFT EXLAIM: "IT'S JUT A TAX CUT FOR THE RICH!" AND IT IS JUST ACCEPTED TO BE FACT. BUT WHAT DOES THAT REALLY MEAN?



JUST IN CASE YOU ARE NOT COMPLETELY CLEAR ON THIS ISSUE, I HOPE THE FOLLOWING WILL HELP. PLEASE READ IT CAREFULLY. LET'S PUT TAX CUTS IN TERMS EVERYONE CAN UNDERSTAND:



SUPPOSE EVERY DAY, TEN MEN GO OUT FOR DINNER AND THE BILL FOR ALL TEN COMES TO $100. IF THEY PAID THEIR BILL THE WAY WE PAY OUR TAXES, IT WOULD GO SOMETHING LIKE THIS:



THE FIRST FOUR MEN (THE POOREST) WOULD PAY NOTHING.
THE FIFTH WOULD PAY $1
THE SIXTH WOULD PAY $3
THE SEVENTH WOULD PAY $7
THE EIGHT WOULD PAY $12
THE NINTH WOULD PAY $18
THE TENTH MAN (THE RICHEST) WOULD PAY $59.
SO, THAT'S WHAT THEY DECIDED TO DO. THE TEN MEN ATE DINNER IN THE RESTAURANT EVERY DAY AND SEEMED QUITE HAPPY WITH THE ARRANGEMENT, UNTIL ONE DAY, THE OWNER THREW THEM A CURVE. "SINCE YOU ARE ALL SUCH GOOD CUSTOMERS," HE SAID, "I'M GOING TO REDUCE THE COST OF YOUR DAILY MEAL BY $20."
DINNER FOR THE TEN MEN NOW COST JUST $80.



THE GROUP STILL WANTED TO PAY THEIR BILL THE WAY WE PAY OUR TAXES, SO THE FIRST FOUR MEN WERE UNAFFECTED. THEY WOULD STILL EAT FOR FREE. BUT WHAT ABOUT THE OTHER SIX MEN - THE PAYING CUSTOMERS? HOW COULD THEY DIVIDE THE $20.00 WINDFALL SO THAT EVERYONE WOULD GET HIS "FAIR SHARE" ?



THEY REALIZED THAT $20 DIVIDED BY SIX IS $3.33. BUT IF THEY SUBTRACTED THAT FROM EVERYBODY'S SHARE, THEN THE FIFTH AND SIXTH MAN WOULD END UP BEING PAID TO EAT THEIR MEAL. SO, THE RESTAURANT OWNER SUGGESTED:


THE FIFTH MAN, LIKE THE FIRST FOUR, NOW PAID NOTHING (100% SAVINGS)
THE SIXTH NOW PAID $2 INSTEAD OF $3 (33% SAVINGS)
THE SEVENTH NOW PAID $5 INSTEAD OF $7 (28% SAVINGS)
THE EIGHTH NOW PAID $9 INSTEAD OF $12 (25% SAVINGS)
THE NINTH NOW PAID $14 INSTEAD OF $18 (22% SAVINGS)
THE TENTH NOW PAID $49 INSTEAD OF $59 (16% SAVINGS...THE LEAST PROPORTIONATE SAVINGS)
EACH OF THE SIX PAYING CUSTOMERS WAS BETTER OFF THAN BEFORE. AND THE FIRST FOUR CONTINUED TO EAT FOR FREE.


BUT ONCE OUTSIDE THE RESTAURANT, THE MEN BEGAN TO COMPARE THEIR SAVINGS.
"I ONLY GOT A DOLLAR OUT OF THE $20" DECLARED THE SIXTH MAN. HE POINTED TO THE TENTH MAN, "BUT HE GOT $10!" "YEAH, THAT'S RIGHT", EXCLAIMED THE FIFTH MAN. "I ONLY SAVED A DOLLAR TOO. IT'S UNFAIR THAT HE GOT TEN TIMES MORE THAN ME!" "THAT'S TRUE!!" SHOUTED THE SEVENTH MAN. "WHY SHOULD HE GET $10 BACK WHEN I ONLY GOT TWO? THE WEALTHY GET ALL THE BREAKS!!" "WAIT A MINUTE" YELLED THE FIRST FOUR MEN IN UNISON. "WE DIDN'T GET ANYTHING AT ALL. THE SYSTEM EXPLOITS THE POOR!"



AS A CONSEQUENCE, THE FIRST NINE MEN SURROUNDED THE TENTH AND BEAT HIM UP.



THE NEXT NIGHT THE TENTH MAN DIDN'T SHOW UP FOR DINNER, SO THE NINE SAT DOWN AND ATE WITHOUT HIM. BUT WHEN IT CAME TIME TO PAY THE BILL, THEY DISCOVERED SOMETHING IMPORTANT. THEY DIDN'T HAVE ENOUGH MONEY BETWEEN ALL OF THEM FOR EVEN HALF OF THE BILL!



AND THAT, BOYS AND GIRLS, JOURNALISTS AND COLLEGE PROFESSORS, IS HOW OUR TAX SYSTEM WORKS. THE PEOPLE WHO PAY THE HIGHEST TAXES GET THE MOST BENEFIT FROM A TAX REDUCTION. TAX THEM TOO MUCH, ATTACK THEM FOR BEING WEALTHY, AND THEY JUST MIGHT NOT SHOW UP ANYMORE. IN FACT, THEY MIGHT START EATING OVERSEAS WHERE THE ATMOSPHERE IS SOMEWHAT FRIENDLIER.
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Old 01-15-2007, 05:56 PM   #2
Crazyheal
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Default Re: Tax Code 101

papa you are always posting some long ass bullshit......i dont think you have ever posted anything under 3 paragraphs long
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Old 01-15-2007, 06:10 PM   #3
Papa
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Question Re: Tax Code 101

LOL !!

Yeah I tend to make people think a little bit
at times, rather then throwing out the 1 liner
for shock value on every post.
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Old 01-15-2007, 08:13 PM   #4
Laibach
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Default Re: Tax Code 101

That's all fine, but what about those that make ~150k a year? They're neither rich nor poor, but take it up the ass when it comes to taxes.

-lai
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Old 01-15-2007, 08:14 PM   #5
Sigurd
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Default Re: Tax Code 101

Support the Fair Tax.... www.fairtax.org
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Cursed are the Unfit for they shall be righteously exterminated.
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Old 01-16-2007, 03:13 AM   #6
Mahlerion
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Default Re: Tax Code 101

Papa, I would agree with your little story if you had included the caviar, pate, fine wine, crepes suzette, etc. that would have been only on the rich guy's menu and not available to the others. Our tax code is written by rich people (i.e. lawyers) for rich people and includes many little goodies (called tax breaks or loopholes) that are available only to the very wealthy. Nothing illustrates this better than Leona Helmsly's statement that "only the little people pay taxes". That's really not true, but it makes the point - wealthy people have an abundance of opportunities to protect their wealth from taxation, while the lower and middle classes are stuck with standard deductions.

There are plenty of wealthy people who gained their wealth through hard work. I object, however, to giving tax breaks to spoiled little rich girls who never worked a day in their lives and galavant around the world creating scandal just because they inherited millions.

Before you start ragging on "liberals" again, let's list a few of the things that would be different if "conservatives" had had their way:

1. women wouldn't be allowed to vote
2. blacks would be riding in the backs of buses and also would not be allowed to vote
3. workers would be working 12 hours a day, 6 days per week for puny wages.
4. much of what we consider free speech would be prohibited and many worthwhile books would be banned.
5. on Sunday there would be no sports and all the stores would be closed.
6. every building, road, street, airport and Navy ship would be named after Ronald Reagan. (ok, I exaggerated on this one!)

"Conservatives" tend to be hawks on national defense. If JFK had listened to the Pentagon hawks and attacked the Cuban missile sites, much of the Southeastern US would be a radioactive wasteland now. We found out years ago that those missiles were online and controlled by Russian commanders who had standing orders to launch against the US if they were attacked.

The "liberal" view that government money and programs can solve any problem has been shown to be wrong in many cases, but that doesn't mean we should just turn our backs on those less fortunate and say "fix it yourself" when in all likelihood they simply don't have the tools to do so.


Sorry, I didn't intend to turn this into an essay, but sometimes you gotta do what you gotta do.

Yeah, I agree that a flat tax is the only "fair" tax, provided that the taxation begins on income above the level required for the average family of four to have a decent standard of living.
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