“Buffett Rule” is name after Warren Buffett who is one of billionaires in America. Warren Buffett has claimed that the rich should not be paying a lower tax rate than the rest of the public. If “Buffett Rule” is passed by Congress, it raises the tax rate to at least 30 percent on anyone earning more than $1 million a year. Appearing in ABC TV show with his secretary on January 25, Warren Buffett supported Obama’s tax reform plan asserted in State of the Union Address.
“Buffett Rule” has aroused a controversy in the United States. First of all, people who agree with the “Buffett Rule” say that rate of taxation is not fair under current law. Although the amount of billionaires’s taxes is much higher than the amount of the middle class, ratio of taxation against national income isn’t. The burden of taxation should be fair to everyone in democratic society.
On the contrary to this, people who disagree with the “Buffett Rule’ assert that high taxation toward the upper class can raise economic problems, for example, decreasing capital investment and slowing down economic vitality. According to their opinion, “Buffett Rule” will make economic growth slowed.
In democratic society, the people are liable to taxation. Also, the tax burden is shared by all of nation in just proportions. ‘Just proportion’ does not mean that everyone should pay tax under the same rate of taxation. It means everyone feel the same pressure under taxation made by applying differential tax rates. Therefore, government should consider tax fairness. Unfair tax system makes worker who form a large majority in American economy lose their will to work. Furthermore, It causes the complaint of the people against the government.
To sum up, “Buffett Rule” is a kind of policies that makes state economy fair. Even though “Buffett Rule” does not solve completely all of the economic crisis that the United States faces, it lets discussions of tax rate continued. For this reason, the “Buffett Rule” has a lot of meaning.
- Minyoung Lee
I enjoyed your posting and it was very interesting.
ReplyDeleteIn the United States, I heard that President Obama, Warren Buffett and former President Bill Clinton go along with the Buffett Rule.
However, the Republican Party criticizes bitterly about this rule for the reason that this would aggravate a
stagnant economy and job creaation.
I support the idea of tax on high income brackets.
Passing these bills can definiately have a positive effect on the framework of society.
If the tax on the wealthy would be applied, it will play a big part in settling a conflict of the polarization of wealth which is continuing even now.
Recently, social polarization continues to get stronger, so society might become one that only the rich and the poor exist.
I think it is impossible to change the stream of soceity without reformation of tax system and development of revolutionary technology.
Therefore I guess that Buffett Rule will be helpful to reduce social polarization.
That is because the goverment could conduct a welfare policy from the taxes of the rich and give various
economic benefits to the poor.
I agree and disagree with this topic. Part of me agrees, it wouldn't hurt a millionaire to pay more in taxes, especially when most of them agree to it. This 1% of Americans paying a little more in taxes a year could help us get out of the one trillion dollar deficit that we are in or help create new jobs to reduce the unemployment rate.
ReplyDeleteHowever the other half of me is iffy. Most farmers nowadays can easily make a million dollars in a year but most of those earnings go right back into their farm and they already pay a crazy amount of property taxes. So if this bill were to go through I think that they need to take into consideration all types of millionaires in America.
First off I wanted to say that your post was very well thought out and structured.
ReplyDeleteReading your post really got me thinking, and i have decided that i am in favor of the "Buffet Rule". I am in favor of the "Buffet Rule" because of the fact that all taxation in our country should be felt in proportion. It is not fair to have the same tax rates for all classes. After this rule is passed it will provide more equality among economic classes, but this one "rule" will not be the solution to our economic problems, but it is a step in the right direction.
The "Buffett Rule" is a great idea in theory and would seem to solve all of the wealth distribution problems in America. The United States has its highest income gap between classes that it has ever had. This income gap is a huge problem and needs to be fixed. However, taxing the rich to help the poor is not the way to go about this problem.
ReplyDeleteOne of the most staggering statistics concerning taxes, is that only 53 percent of Americans pay an income tax. This means that a little over half of the population supports the other half. This cannot be tolerated in America and is extremely unjust to half the population. It has been said that taxes are the biggest discount in America because of all the things they provide for us. The things which taxes provide are incredible and there should not be near this amount of people getting these services for free.
In order to promote fair taxation for all income levels, I believe the United States needs to implement a flat tax. The high income levels will still be paying the majority of the taxes because of their percentage income, but they will not be punished for their wealth. These people in high income levels will have money which they can then use. Whether they use the money to buy a helicopter, build a mansion, or open a new business, they will stimulate the economy and require more people to work for them. This will allow people to put more money into the economy, which will in turn have people using more taxable items and purchases. The United States needs to reward people for their hard work not punish them.