Talk:The New Individual Income Tax Act, 654

Mivod Hlaja [NUP] OP — 05/14/2023 10:08 PM Tabled by Immanuel con Zeppelin, MGA, CKA, as an independent member’s bill. Voting is presently set for the 28th of May. https://kodiak.wiki/wiki/The_New_Individual_Income_Tax_Act,_654 The Kodiak Republic Wiki The New Individual Income Tax Act, 654 An act to repeal and replace the Individual Income Tax Act (630). ACTIONED ## MONTH ####, ## Aye, ## Nay, ## Abstain. Mivod Hlaja [NUP] OP — 05/14/2023 10:10 PM @Assembly Member Debate is now opened for the first of Immanuel’s many bills. Voting presently set for the 28th of May. Alfonso Sadurin (DPPK) — 05/14/2023 10:10 PM We need higher taxes Not lower GamerKodiak123 — 05/14/2023 10:10 PM i hate taxes W Magnus Ward (NUP) — 05/14/2023 10:36 PM For what its worth, this proposal does increase taxes. it also taxes all income above 105,000 florins at 100%, meaning that it the maximum income for any individual in the entire nation. An individual at 105,000 florins will suffer an effective tax rate of 43% this is also ~25k florins below the median income. taxing 100% of income from the top 65% of the nation does not feel "Centrist" to me W Magnus Ward (NUP) — 05/14/2023 10:44 PM Image Alfonso Sadurin (DPPK) — 05/14/2023 11:10 PM we should put a stop to this all income above 105,000 florins are taxed at 100% should stop with around 60% also would it be possible to suggest a better tax scheme that only involves four levels Exempt - 0% Reduced - 20% Standard - 45% Supplement - 60% W Magnus Ward (NUP) — 05/14/2023 11:16 PM The existing income tax currently has a 5 level solution Alfonso Sadurin (DPPK) — 05/14/2023 11:16 PM do we have data on the decile of income? W Magnus Ward (NUP) — 05/14/2023 11:16 PM Image Alfonso Sadurin (DPPK) — 05/14/2023 11:17 PM do you have data about income deciles? I think we could update the income tax based on that information the median taxpayer should be paying an effective tax less than a corporation Alfonso Sadurin (DPPK) — 05/14/2023 11:28 PM maybe we can adjust tax rates:

18 to 20% 35% 49 to 55% Grant Shadbolt [CKA] — 05/15/2023 12:31 AM I like this Although I would like to suggest an addition that the maximum tax rate is 100% Because currently, there is a very definite possibility of people having to pay more than they earn. Charlotte Groves (Juliette)[KWP] — 05/15/2023 12:46 AM An individual at 105,000 florins will suffer an effective tax rate of 43% this is also ~25k florins below the median income.

Just want to highlight this, this taxation seems extremely punitive on the average Kodiaker. With a median income of 130k being capped at 60k after taxes (This is 6k USD).

This would certainly boost taxes a great amount, but at the cost of the ability for most people to make ends meet. The poor, the workers, and even the middle-class would share the brunt of the tax burden that funds any service, as they typically can only rely on their income. Whereas the rich have wealth beyond income.

A progressive tax should be a tax that does not punish those that most need their income to survive.

Author - Please explain thought process, thank you! von Zeppelin [CKA] — 05/15/2023 2:09 AM Good day, dear friends. For the first time I participate in the discussion of my own bill, which does mek honor, but also imposes obligations.

To begin with, I will note that I created a table (based on Magnus data) to visualize the reform. If desired, you can even enter your data. Attachment file type: spreadsheet Calculation_of_taxes.xlsx 29.34 KB Pay attention to the diagrams on the right of the tables. It is advisable to familiarize yourself with them. (OOC: Sorry, due to subjective-objective reasons, I will continue the explanation a little later) Grant Shadbolt [CKA] — 05/15/2023 2:20 AM Is the highest wage-earner in the country on less than $450,000? von Zeppelin [CKA] — 05/15/2023 2:38 AM Yes. Due to the specifics of the initial data, the numbers in the table are not very even.

And note, taxes are collected not from the annual, but from the monthly salary. von Zeppelin [CKA] — 05/15/2023 2:48 AM No one will starve after paying taxes (we don't have that many rich people). Here is the confirmation (I'm sorry, but the paint line is made approximately, it should be at the level of 6,666 florins). Image Green indicates the salary after tax payment, blue indicates the amount of tax. W Magnus Ward (NUP) — 05/15/2023 2:57 AM I dont' understand why we've swapped from annual to monthly Nikolai Orlov (SWH) — 05/15/2023 2:57 AM Oh wow von Zeppelin [CKA] — 05/15/2023 2:59 AM Because the salary is paid once a month, not once a year. W Magnus Ward (NUP) — 05/15/2023 3:00 AM but under that model we're over taxing people who make most of their income in a short period of time like farmers during harvest season, or shopkeepers during Christmas or summer labourers like construction von Zeppelin [CKA] — 05/15/2023 3:01 AM But they are not taxed at all the rest of the year. Nikolai Orlov (SWH) — 05/15/2023 3:01 AM May I ask, howd you do that, I've been really invested in this type of stuff W Magnus Ward (NUP) — 05/15/2023 3:01 AM But they are taxes with a higher threshold for the months they are taxed So if they make 100,000 a year, but only in 3 months, they get taxed at 33k But if I make 100,000 a year, but over 12 months, I only get taxed at 8.3k von Zeppelin [CKA] — 05/15/2023 3:04 AM You are not taxed up to 173076 florins per year. W Magnus Ward (NUP) — 05/15/2023 3:04 AM that wasn't the point So your own sheet here says it best If I make 100k a year but over 12 months, I get taxes 0$