This entry was posted on 10/29/2008 10:49 PM and is filed under TAXES.
< Straying for an entry from energy policy to strictly tax policy >
Should individuals and corporations with very high annual incomes pay a significantly higher percentage of their incomes in taxes?
Well, of course they should. Here's why:
Let's say the CEO of a business earns $5 million in a year. If most of this organization's products and/or services are sold in the U.S., then the majority of the CEO's salary is the result of government services paid for by taxes. The income received by this business is the result of the people that work at this organization and/or people that bought this company's products and/or services. It is the schools, roads, police, etc. that enabled all of these workers and/or consumers to put the CEO in a position to earn $5 million in a year.
For a CEO that earns $10 million in a year, for the same reasons, an even higher percentage of that money should be taxed because it was only earned as a result of all the people that used government services to earn income or acquire the skills to be able to build an organization that could pay its CEO $10 million in a year.
The same argument holds for highly paid professional athletes.
What do YOU think about sharply progressive taxes such those being proposed here?
