3 ms·
Out of curiosity, how does a flat tax country like Estonia manage incentives? It's the main thing that balloons the US tax policy - not by design, but for whate
by valarauko 4y ago
Out of curiosity, how does a flat tax country like Estonia manage incentives? It's the main thing that balloons the US tax policy - not by design, but for whatever convoluted quirks of history the US has settled on using tax incentives as a means of placing the thumb on driving public behavior, especially when dealing with a federal structure and 50 differing opinions of how things should be run. Want to encourage more children? Increase the child deductions. Want to encourage household solar energy production? Tax deductions.
- cpursley 4y agoA very intelgent question void of political bias (rare these days on HN). Thank you for that! My other alternative suggestion to a flat income tax is a progressive sales tax based on what you want to incentivize. Gas guzzlers? First class flight? Tax the shit out of them. Solar roof? Basic groceries? No tax. Used/preowned goods? Zero tax (a loophole for opting out). Etc.