🇳🇱
Please feel free to explain specifically where you think i went wrong. I deal with these sorts of taxes daily as the EVP of a company.
The Dutch taxes on the highest tax bracket is also highly abusive. So not sure thats a great comparison.
@freemo @pmonks @QasimRashid The uber-wealthy of that era built universities and libraries, and even whole cities.
California had a 90% corporate asset tax on cash over a few million dollars (today's values). Was is an era when the rich were oppressed? No. It was a Golden Age of Capitalism which changed the world. They built railroads and industries instead of gambling on fictional capital markets and parking cash in 0.01% government bonds.
A person making 489 euros in the netherlands will pay about 233 euros in taxes, or the very abusive tax rate of about 48%
On 45k euros income the dutch will pay about 13k or 29%
Similarly in the usa 489 equivelant in euros of income would cost you 35.5% effective rate and 41.5% marginal rate.
So no this is incorrect, at 489K while the taxes are a nice chink less in the US it is also quite a bit higher than the 45K levdl as you suggest also.
@freemo @pmonks @QasimRashid HSBC says the Dutch second band is 37.25%. The top US bracket is 37%.
You're invoking effective rate, which are effectively meaningless if you exclude VAT/sales tax, health insurance, education, etc. Cutting the top US backet (& cap gains) was paid for by shifting the burden of society, the economy, and the state, to those least able to pay.
@freemo @pmonks @QasimRashid
Now Dr. Explain to us how tax credits and tax write offs work to lessen the tax burden for the wealthy. Not to even mention the tax deferrals offered in 401ks and IRAs. So the real question is not what is the tax bracket you're in but what is the effective tax rate you actually pay. That's why Buffet says his secretary pays more in tax than he does.
Yes they legally use the writeoffs and other benefits availible to everyone. If there is a specific writeoff you feel is unjust or only applies to the wealthh im open to discuss
@freemo @pmonks @QasimRashid sorry I'm a little behind on this thread, right now. It's just the "cry me a river" over how high my tax bracket is, is a bit over done. Here is a question for everyone, what are the purposes for taxes anyway. If you say to pay for federal policies and programs, well, you been duped.
@freemo @pmonks @QasimRashid First of all, the top US tax bracket is 7x higher than the Dutch one, and 12.5% less. The "OUTRAGEOUS" Biden proposal to raise the top income tax bracket would still have Americans earning ~€489k paying rates like Dutch earning €35k.
Second, even when top US rates were +80%, almost nobody was paying them. Why? Because the whole point was to redirect income into capital investments.