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Tax Time?
One of the best reasons to keep my Swiss ties. The perspective it brings.
Switzerland and the US share many similarities when it comes to taxation. Both collect more direct taxes than indirect ones compared with other OECD countries because Switzerland has a low value-added tax (VAT), the US none.
Taxes on personal income amount to 10.2 per cent of gross domestic product (GDP) in Switzerland, 8.9 per cent in the US, which is a little higher than the OECD average in the case of Switzerland and about average for the US (all data from a 2004 OECD comparison).
Taxes on property are slightly higher in America, but both countries have levels above those of other countries. Social security contributions are considerably lower in both Switzerland and the US compared with other European nations: 7.1 and 6.6 per cent, respectively.
And, finally, both countries are relatively friendly towards corporations, which are taxed only at the rate of 2.5 per cent of GDP in Switzerland and 2.2 per cent in the US.
You know. I could complain about taxing human beings more than corporations, which don't need food, clothing and shelter to survive.
I'll just complain about the percentage difference. Complain, complain. Yay.
Switzerland and the US share many similarities when it comes to taxation. Both collect more direct taxes than indirect ones compared with other OECD countries because Switzerland has a low value-added tax (VAT), the US none.
Taxes on personal income amount to 10.2 per cent of gross domestic product (GDP) in Switzerland, 8.9 per cent in the US, which is a little higher than the OECD average in the case of Switzerland and about average for the US (all data from a 2004 OECD comparison).
Taxes on property are slightly higher in America, but both countries have levels above those of other countries. Social security contributions are considerably lower in both Switzerland and the US compared with other European nations: 7.1 and 6.6 per cent, respectively.
And, finally, both countries are relatively friendly towards corporations, which are taxed only at the rate of 2.5 per cent of GDP in Switzerland and 2.2 per cent in the US.
You know. I could complain about taxing human beings more than corporations, which don't need food, clothing and shelter to survive.
I'll just complain about the percentage difference. Complain, complain. Yay.
no subject
Hmm...
I do find it interesting that they seem to completely gloss over the fact that their numbers, as stated, don't add up. They're projecting an increase in tax revenue while at the same time predicting a decrease in taxes paid across all income ranges. Where does the extra money come from? The tax fairy?
I suspect I know the answer to this question, and I suspect that at least some of the FairTax folks do too, but the fact that they don't seem to mention it anywhere, despite the fact that it could have a significant impact on how such a system would affect people in reality (as well as, I suspect, nullifying or reducing some of their claimed benefits), seems a bit shady..
It might well still be better than our current system, but I think more analysis is required than just what you get off their web site in order to make an informed decision.
no subject