Dodecanese Dictator Debate No. 1 – Income Tax

I agree, and I would like to state categorically that, if I were to be the island of San Antray's dictator, I would not force people to salute me and shout "Hail Eggleston" or persecute Slavs and gypsies or sanction the testing of biological weapons on disabled people or force Jewish people to work in labour camps before murdering them on a wholesale basis. Furthermore, I promise I will not use San Antray as a platform to invade my neighbours in a quest for military and political dominance of Europe! Moving on, my opponent proposes a type of means test "based on (workers) ability to pay…a system of income tax that analyzes a person's assets, income, and other financial obligations". This is an interesting idea but, unfortunately, it will reward the rich and punish the poor. Let's compare the annual outgoings of the richer 20% and the poorer 80%: Waiter with wife and two children ____________________________ Rent and utility bills – pays half salary for two-bedroom apartment Groceries – buys supermarket own-brand essentials and cheap meat, fruit and vegetables from the local bazaar Travel Expenses – the whole family walks everywhere as they cannot afford a car Clothing – buys cheap items sold in discount outlets Entertainment – singing songs while dad plays the mouthorgan is all they can afford . Investment banker living alone _________________________ Mortgage – pays half salary for luxury villa Groceries – has vintage champagne, Beluga caviar and fois gras flown in from Harrods in London but mainly eats out or employs professional caterers to come in and cook Travel Expenses – runs a helicopter and a Ferrari, hires a chauffeur-driven limousine for transfers to and from town and has a luxury yacht moored in the harbour Clothing - buys designer gear imported from upmarket boutiques in Paris, London and Milan Entertainment – eats in the island's finest restaurants; engages the services of high-class caterers and hostesses when holding parties; books private tables at gentlemen's clubs and plays golf at the island's most exclusive resort . Now, since investment bankers pay themselves mostly in the form of bonuses: which are squirreled away into offshore bank accounts to avoid the prying eyes of the taxman; they would be able to produce receipts to prove that they spend a far bigger proportion of their income than the family does. So, we can see that under my opponent's scheme, the rich will pay little or no tax and the poor will have to, in effect subsidise them, by paying more than their fair share (up to 41.5% of their income) in order to make up the required ï¿½50 billion, which cannot be considered morally just. I do recognise, however, that low tax regimes attract high net worth individuals and that they should be encouraged to settle in San Antray. However, there is very little financial gain to the island from them being there if they pay no tax. Since there is no sales or corporation tax on the island, income tax is the only way a dictator could raise the money required to run the island and, provided the rate does not exceed that of comparable countries, a percentage-based tax should not deter anybody from settling in San Antray, be they rich, poor or somewhere in between. Thank you.