Archive:Andrew Hester/On Taxes

By Andrew Hester , Head of the Treasury , Sophomore Executive

November 4th, 2012

Taxes... the mere mentioning causes lines to be drawn by politicians and those who would be liable to pay them. The Triumvirate has in it's history never had them, but now is the time for them.

I'm appealing to all, but especially members of the Establishment Party, we need them. Before I would have argued against for all the reasons I know you would, "*The government has more than enough, it doesn't need more" "taxes will only hurt businesses and the people who run them"*, I get that I was opposed to the 15% all business tax that our Major Executive Stavrok proposed few months back. But on a funny feeling I created a spreadsheet on the wealth distribution within the Triumvirate, the numbers are alarming. (Spreadsheet on the wealth distribution).

As of now, Ehyta and my business combined control 31.88% of all the Tri in the economy, that's ∇1,594, the Triumvirate Government only controls 33.5% or ∇1,675. However when you combine Ehyta's own account and that of mine with our two businesses, we both control 46.62% of all the Tri in the economy that's ∇2,331. Now Stavrok and I aren't proposing a tax on everything, just businesses, and unlike a flat 15% tax on businesses even if they have just ∇50 or ∇859 this would a someone progressive tax based on **how much they *already have***.

I'm not the only business owner who feels this way, I got a reply from Ehyta that he "would support a small tax. That sounds fair", this from the two richest people in the Triumvirate and the business owners of the richest businesses.

Also this past week, Stavrok has been making the push to revamp cultural efforts inspired by Chief Justice Esteemi's editorial in the Triumvirate Today in October 28th's issue. This is expected to cost the government substantial amounts of money; from paying for significant events such as the countdown crisis, people and buildings such as the Executive building.

Let's look at alternatives the government could do to make money, through Bonds, fees and fines.

**Government Bonds** are bonds that are "debt investments" where the government sells bonds to people who buy them, bonds generally are a promise to pay a certain amount of money on a certain date and no sooner, then after as well as periodic interest. There are several issues that come to mind, first off what would the government do if it had several thousand ∇ owed to bond holders? Example; say the government had ∇2,000 worth of bonds with a 1% interest rate per month, however the government only has ∇1,500 cause it was spending to expand the culture of the Triumvirate and other various projects that were to come. This isn't a good investment for the government to get entangled in or at least in large amounts.

**Fines and fees** these are essentially taxes, however they're taxes on punishments as such this isn't a good source of income as we don't want crime in the Triumvirate.

**Print off more Tri** why not just print more Tri? There's alot of RSGP to back the Tri keep printing more! First off, this would probably bee the worst of all the solutions key reason being, inflation. You all saw it when it was announced the CC-contract was announced and shortly after General Media doubled it's price for the Triumvirate Today. If we keep printing more money, just because there's more doesn't mean it will always buy more, printing more money in effect makes the money your printing worthless.

Let me ask you all a critical question now: What should the government do if 70% of the Tri in the Triumvirate were both GM and CC with the rest in the hands of citizens and government is left with little to nothing?

Also, I'm announcing that I am withdrawing CC's voluntary tax of 10% for actions of our Chief Attorny Arnold who wouldn't take these numbers into account nor provided any rhetorical reply as to why taxes shouldn't be in place. Consider this now, the Government made ∇80 from the CC-contract and CC would have ∇939 right now if not because of that voluntary tax and GM and CC would have 1.6% more of all the Tri in the economy.

Thank you for your time once again.