If America can Finally
Tax the Rich, Why Can't We? (De Morgen, Belgium)
"In the
United States, almost literally at the last second, a budget disaster has been averted.
It was a remarkable decision, because for the first time in 20 years, taxes on
the highest incomes have been raised with some Republican support. ... The
United States took 20 years before it dared do something about this trend and raised
taxes on the rich. How much time will we need?"
Only when at the edge of a cliff, do politicians dare take a
step forward. That somewhat cynical witticism is once again a reality in the
United States, where almost literally at the last second, a budget disaster has
been averted. It was a remarkable decision, because for the first time in 20
years, taxes on the highest incomes have been raised with some Republican
support.
Furthermore, it isn't even a little. Under the new system,
the top 0.1 percent will pay 8.5 percent more of its income, the richest 1
percent of households will pay 6.5 percent more, and the top fifth of incomes
will be set back by an additional 3 percent. That is almost the same as
property taxes.
Posted by Worldmeets.US
However, this time we've heard nothing from Ackermans & van Haaren CEO Luc Bertrand, who
denounced Prime Minister Di Rupo's government as “Marxist” for far less dramatic
tax increases.
Even more peculiar: global stock exchanges have even done a
dance of joy. Even if this is because not reaching an agreement would have led
to a much more dramatic economic disaster, it remains unusual to see the
markets respond with applause and rising stock prices to tax increases.
Now, the rich won't be overly affected by these measures.
Yesterday it was announced that during the previous year, the 100 richest
people in the world boosted their collective wealth by $240 billion. They ended
2012 with combined capital of $1.9 trillion. Bernard Arnault,
ninth on the list with an estimated fortune of $28.8 billion, is the same man
who wants to move to the Di Rupo's Marxist country [Belgium]
for fiscal reasons.
Yet in our case, every attempt at a more equitable
redistribution of resources is dismissed as an “envy-tax” that would destroy
every economic incentive for engaging in business, and which would prevent
prosperity from being better distributed through that magical “trickle-down” system.
The statistics contradict this. Even though the average purchasing
power of Belgians has risen 32 percent in the last 20 years, the income
disparity has only widened: over the same period, the share of total national income
of the lowest 30 percent has declined from 11.2 percent to 8.3 percent, while
the share of the wealthiest 10 percent rose to 31.9 percent.
The United States took 20 years before daring to do
something about this trend and raising taxes on the rich. How much time will we
need?
