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This "socialized apartments" would not work easily in the U.S. In California, the highest tax bracket is 13.3% and it's 39.6% as the highest Federal income tax
by youngButEager 10y ago
This "socialized apartments" would not work easily in the U.S.
In California, the highest tax bracket is 13.3% and it's 39.6% as the highest Federal income tax bracket, for a total of:
13.3% + 39.6% = 52.9%
The top income tax bracket in California (combined) is nearly 53%.
Could California build socialized apartments to satisfy demand? I.e. are taxes high enough to provide the funds to do so?
The highest tax bracket in Singapore is 20%. (See https://www.iras.gov.sg/irashome/Individuals/Locals/Working-Out-Your-Taxes/Income-Tax-Rates/ https://www.iras.gov.sg/irashome/Individuals/Locals/Working-...)
Singapore is able to socialize apartments by taking only 20% of their citizens' money. If you think about it, their 20% top bracket:
- pays for all their roads, schools, bridges, etc.
AND
- pays for huge apartment communities
There is absolutely no way our state will ever be efficient enough to socialize housing. We're taxed at almost 3X what Singapore is and we cannot even manage paying for all our roads, schools, bridges, etc.
- ghshephard 10y agoFair point about taxes - but, to be clear, I'm sure the HDBs are sold at a profit compared to the cost of building them - but there is no land speculation (they are 99 year leases), and housing speculation has a zillion dials to reduce it from happening with HDBs (you have to live in them for a while before you can sell them, you have to pay extra taxes if you are not a citizen) And all this came about because in the 1950s, the housing situation in Singapore was abysmal, possibly one of the worst in the world. Government decided to take a leadership role in ensuring that their citizens had housing.