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> Even the social democratic Scandinavian countries that collect 14 percent of GDP more than the US do it almost entirely from their VAT and higher payroll taxe
by DemocracyFTW2 1y ago
> Even the social democratic Scandinavian countries that collect 14 percent of GDP more than the US do it almost entirely from their VAT and higher payroll taxes—which come from everyone, not just the rich.
This is ... wrong? I won't comment on the first part, just the second part that argues that revenues from VAT and payroll (income?) taxes come "from everyone, not just the rich". The rich are not affected by payroll/income taxes and when you have enough money you can always stash it somewhere so it doesn't get taxed. VAT as well as taxes on tobacco and liquor disproportionally affect lower incomes. "We're all sitting in the same boat" except when we're not. Look, I know there's an oil refinery down on the coast that's billowing smoke and polluting the waters. But you know what? If we were to shut down that refinery then other polluters might in the future refrain from investing and polluting here, and also, shutting it down would only lower emissions by a bit and not forever and not in other countries, so it's not a solution, like, at all. It's almost like we have no choice!
- anovikov 1y agoPayroll taxes of course don't come from the rich, they don't make money as salaries. And their consumption is quite limited so they don't pay much VAT either. Money in Scandinavian countries is coming from the middle class. The rich are a lot more entrenched there than they are in the US, to the point of becoming almost invisible, because almost all wealth stretches generations since before current draconian taxes were put in place. These people in fact, introduced this system for their own benefit: to pull the ladder.