Why I Like To Pay My Taxes

The city is going to see a significant drop in revenue, with this bill. New York City has the highest cigarette tax rate in the United States with the minimum price for per pack of cigarettes in the city is $10.50. The Campaign for Tobacco-Free Kids, illustrate that of the minimum amount, $1.50 of that goes to the city of New York and $4.35 is taxed by the state of New York. It is clear these administrations will see a hindrance with the deficiency of these sales of raising the age.

will make for bigger government, which will in turn grant more power to Big Tobacco.

In addition to higher rates under the Act, the new taxes under the Patient Protection and Affordable Care Act (Obamacare) go into effect in 2013: a new 3.8 percent tax applies to net investment income of taxpayers with modified adjusted gross incomes over $250,000 (married filing jointly), and a new additional Medicare tax of 0 .9 percent is imposed on taxpayers with wages in excess of $250,000 (married filing jointly) . From an economics stand point taxes artificially impose new market equilibriums that are not favorable for growth in GDP. If we continue to modify the tax code to bridge the spending gap we will eventually lose our ability to compete in the free market trade system, defined as capitalism, which is what this country is founded on, and what has made us the leading economic world power we are today. In accounting terms if tax liability were termed “overhead” we will become top heavy and our model for success will become overburdened and uncompetitive in the global market. This ultimately leads to all of our jobs going overseas as is currently the trend in American business. This is something that must be carefully considered when looking to tax hikes to solve government spending problems.

Sin taxes account for approximately 4.5 percent of Texas’ state tax revenue (Litten). Tobacco taxes can be divided into two categories: cigarettes or cigars and other tobacco products. Cigarette taxes in 1931 where as low as three cents a back, but now the state has raised the taxes to $1.41 per a pack of cigarettes (Minton). Alcoholic beverages are taxed based on the type of alcohol, for example, liquor, beer, wine, and malt liquor. Also each alcoholic beverage have a mixed beverage sales tax and mixed beverage gross receipts tax. These taxes have shown a trend of being reduced throughout the past 4 years.

This article is very informative toward the purpose of increasing excise taxes. I believe that Joey Connor did an excellent job at pointing out the effects of the tax increase on tobacco products. He provided information on previous tax rates, so readers can have a clear idea of the increase percentage of taxes. He also supported his arguments by incorporating other sources in his article. For instance, he incorporated the analysis done by the National Public Radio on how the increase in price of cigarettes will affect the consumer behavior.

deep in debt. In order to pay off these debts, they began introducing new taxes to their citizens, including those

According to the book “Current Economic Issues”, Article 2.1 “America’s public-sector workers under attack” we can say that the increase in the government deficit led liberal politicians to extreme measures. They had a choice, cut school to save repair roads, or cut Medicaid to save drug rehabilitation programs. These are all methods were designed to keep the state budget at a normal level. And also, liberal politicians have come to the need to reduce the salaries of public employee and benefits, because the reduction of salary costs can give a chance to save other services, for example in education.

Taxes have always been a contentious issue of debate in the United States; furthermore it is exacerbated by the specific philosophy of individuals, states, and regions. Too be clearer, nobody enjoys paying taxes, however it is the cost we pay for having civilization. Nevertheless, selfishness creeps in to many individuals who feel no particular benefit. Taxes have a real way of polarizing many people from different socio-economic backgrounds, because a tax is inexorably linked to a person’s belief-system. For instance, in the context of social welfare policy liberals are inclined to feel that the tax-burden should be heaped on individuals who have benefited the most from “the system”. On the other hand, we have conservatives who feel they did not receive any support, and all that is necessary is hard work and perseverance to succeed. I am not suggesting either one is correct; it is only a simple illustration to show the relation between pocketbook and personal belief. I hope studying the tax structures of New Jersey and Alabama will give me insight they both reconcile their political beliefs with their individual tax structures.

tax it? John Berick is from the liberal party and he says “it is an opportunity for us to

Tax implications and its effect on alcohol consumption were studied in detail in working paper 8962. This study was done in Canada. What the writer found was that higher tax rates for cigarettes wouldn’t stimulate alcohol consumption as a replacement habit. When smuggling was factored into the equation, it was found that in Canadian smuggling could have increased both cigarette and alcohol consumption.

This tax is called sin tax, and it is a tax that is levied on items that are considered hazardous and/or unhealthy, such as cigarettes and alcohol. It is also proven that the lower class, specifically the lowest quintile in the U.S., spends a higher percentage of their income on alcohol and tobacco than the upper classes. This is most likely due to the fact that the poorer people actually purchase more alcohol and tobacco than the average person in the higher classes. The cause of this is most probably early formations of addictions, which quite possibly ruined careers. People who fall under this category most likely became addicted to alcohol and/or tobacco early on in their lives, which put a financial strain on them earlier on in their careers, or even before their careers even started, therefore hindering their ability to move up in their jobs or find better

That is the only reason why cigarettes are legal. The government makes billions of dollars a year from selling cigarettes. About 25% of the cost of a pack of cigarettes goes to federal and local revenue. They

Due to the need of Obamacare, there are new taxes were created to help pay these expenses including taxes on medical device and pharmaceutical sales.

When the government gets involved and taxes goods and services, it raises revenue for the government, decreases the quantity of goods produced and consumed and therefore, both consumers and the producer of the good will pay, splitting the costs of the tax and leveling up with society’s.

Taxation systems are usually modeled in such a way that they take into consideration the social welfare of the citizens. The government and other policy makers have the responsibility of ensuring that the system takes into account the needs of the citizens. The bottom line is that taxation should foster equal distribution of resources. The rate of taxation is usually arrived at after several considerations have been made. The rates are not fixed as they depend on the various economic changes. The issue of how taxation should be distributed among the different economic classes is yet to be addressed.