Monday, March 29, 2010

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The tax system works

The tax system is a fairy tale for children

Once there were 10 men who went to lunch together every day. The
Account for all together every day was just 100.00 euros. Guests
paid their bill the way we pay our taxes, it looked something like this:

Four men (the poorest) would pay nothing.
The fifth would pay $ 1.
The sixth 3 euros.
The seventh $ 7.
The eighth $ 12.
The ninth $ 18.
The tenth man (the richest) would pay $ 59.

This went on for quite some time well. Every day they came to dinner and all
were satisfied.

Until the economic unrest brought into the arrangement in which he suggested that
To reduce the price of the meal at 20 euros. "Because you are all such good score
are, "How nice of him!" Now the food for the 10 cost only 80
Euro, but the group wanted to pay strictly maintained in such a way as we
be taxed.

This changed nothing for the first four, they still eat for free.

How did it but what about the other six? How could they have the $ 20
Saving divide so that everyone would get his? The six presented
quickly determine that $ 20 divided by six is $ 3.33.
But if they subtracted that from the individual parts would get the
fifth and sixth guest nor money for that at all to eat
go. So the landlord proposed to the guests that all about percentages
as much as he should pay less in total contribute .. He sat down
So back and began to calculate for its guests.

The result was the following:

The fifth guest, like the first four, now paid nothing now
(100% savings).
The sixth paid 2 instead of $ 3 (33% savings).
The seventh now paid $ 5) instead of $ 7 (28% savings.
The eighth now paid $ 9 instead of $ 12 (25% savings).
The ninth now paid $ 14 instead of 18 (22% savings).
And the tenth man (the richest) would pay $ 49 instead of 59 (16% savings).

Each of the six was better off than before, and even the first four
continued to eat for free.

But when the economy is still time before they figured out, was all but
not as ideal as they thought. "I have only 1 Euro from 20 Euro
get, "said the sixth guest and pointed to the tenth guest, the
Reach. "But he got $ 10!" "Yeah!" exclaimed the fifth. "I've
only 1 euro saved and he saves ten times as much as I do. "" How true! "
shouted the seventh man. "Why should he get $ 10 back when I got only 2?

Get all the rich, "" Wait a minute, "yelled the first
four from one mouth. "We did not get anything. The system
exploits the poor! "

And what went out of the blue, the nine surrounded the tenth
And beat him up.

The next night the tenth guest not to eat on. Thus
The remaining 9 sat down and ate without him. But when it was time
pay the bill, they discovered something important:

All together did not have enough money to even half of the
Account can be paid! And if they are not starved surprised
they are today.

And so, dear children, our tax system works. The people who
here pay the highest taxes, have the greatest benefits of
Tax relief.

But if they need to pay much, it can happen that they simply
no longer appear at the table. In other countries there are also quite nice

You may not like this fairy tale retelling.