Why is a Flat Tax unfair is the Flat Tax Regressive ?

[tradeunionsupporter]

Why is a Flat Tax unfair is the Flat Tax Regressive under a Flat Tax would the Poor and the Middle Class pay more of their Income in Taxes than the Rich/Wealthy can anyone explain thanks ?

[RichardAWilson]

The Flat-Tax isn't regressive in the sense of higher income households contributing less than lower income households.

However, the Flat-Tax is regressive in the sense that lower income households would be contributing more than under the existing method.

[Winkers Fons]

One must also consider the marginal utility of wealth. A 20% tax makes a much bigger impact on the quality of life of a person making 20K a year than it does on a person making 200K a year.

[RGacky3]

You trying to be a Tax lawer?

[Demogorgon]

Well as has been said, 25% of the marginal income of somebody making minimum wage is a big taking from them. 25% from Bill Gates, while numerically much greater won't make any difference to his well being.

Moreover many of those calling for a flat tax only want it to apply to "earned income" (wages and salaries). They want dividends, interest payments and the like to be tax free. The brass neck of those calling for that is impressive I have to admit.

[Sperm-Doll Setsuna]

Well as has been said, 25% of the marginal income of somebody making minimum wage is a big taking from them. 25% from Bill Gates, while numerically much greater won't make any difference to his well being.

Moreover many of those calling for a flat tax only want it to apply to "earned income" (wages and salaries). They want dividends, interest payments and the like to be tax free. The brass neck of those calling for that is impressive I have to admit.

Or as a consumption tax, and we all know what group would be most affected by that. And it's not the people sitting on accumulated capital.