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When a 10% corporate tax and 10% income taxes for individuals were introduced in Bulgaria, government ministries and agencies started increasing their indirect
by dimitar 15y ago
When a 10% corporate tax and 10% income taxes for individuals were introduced in Bulgaria, government ministries and agencies started increasing their indirect taxes to balance their budgets. Suddenly if you are running a business you'll have to pay weird registration fees and if you are fined the fine will be huge too.
Also, If everyone paid 15% (in total) I doubt it would appear fair. Wealthier people may benefit more from government policy, why should they pay the same amount?
A low flat tax rate isn't realistic. Maybe if it was higher it might have worked, but you'll have to have welfare spending to offset taxing people into poverty. Which practically the same as having a progressive tax rate in the end.
- bjornsing 15y ago> Also, If everyone paid 15% (in total) I doubt it would appear fair. Wealthier people may benefit more from government policy, why should they pay the same amount? They wouldn't pay the same amount. They would pay the same proportion of their income.