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Bill: Tax Reform - 3995
Details
Submitted by[?]: Great National Republican Guard
Status[?]: passed
Votes: This bill proposes to change income taxes. It requires more than half of the legislature to vote yes. This bill will not pass any sooner than the deadline.
Voting deadline: August 3995
Description[?]:
| The GNRG proposes to adjust the government's tax policies to better address the economic situation of the 2nd Great Democratic Republic of Lodamun. The GNRG has always made solid decisions when in control of the Finance Ministry; we ask the Presidium for our trust yet again. We want to strengthen Lodamun's economy. Right now, the people pay very high taxes. Persons earning more than 2500 LOD pay as high as 45% under the current tax system. Under the proposed tax system, persons earning more than 2600 LOD pay 20%. Passage of this bill will increase the amount of disposable income in the hands of the working class, so much that the 5% increase in sales tax will not affect them at all. Also, someone earning 12350 LOD is not really paying 95% of their income. 12350 is a threshold. They will pay 95% of the money that they earn that is above 12350. Someone earning 12500 LOD will still be wealthier than someone earning 9500 LOD. The income tax scheme will reduce income disparity, but it won't cause someone to earn less than someone who they earned more than, before the tax. |
Proposals
Article 1
Proposal[?] to change Tax percentage of the profit made by corporations.
Old value:: 65
Current: 23
Proposed: 50
Article 2
Proposal[?] to change Sales tax on essential goods such as food and non-luxury clothing.
Old value:: 5
Current: 5
Proposed: 10
Article 3
We propose to alter income tax brackets to the following setup. Information about the current income tax system can be found here.
| Bracket | Tax | Estimated Revenue |
| > 650 LOD | 5% | 1,861,000,000 LOD |
| > 1,300 LOD | 10% | 3,722,000,000 LOD |
| > 1,950 LOD | 15% | 5,374,000,000 LOD |
| > 2,600 LOD | 20% | 6,340,000,000 LOD |
| > 3,250 LOD | 25% | 6,580,000,000 LOD |
| > 3,900 LOD | 30% | 6,021,000,000 LOD |
| > 4,550 LOD | 35% | 4,963,000,000 LOD |
| > 5,200 LOD | 40% | 4,577,000,000 LOD |
| > 5,850 LOD | 45% | 3,832,000,000 LOD |
| > 6,500 LOD | 50% | 3,286,000,000 LOD |
| > 7,150 LOD | 55% | 3,261,000,000 LOD |
| > 7,800 LOD | 60% | 2,782,000,000 LOD |
| > 8,450 LOD | 65% | 2,589,000,000 LOD |
| > 9,100 LOD | 70% | 1,938,000,000 LOD |
| > 9,750 LOD | 75% | 1,655,000,000 LOD |
| > 10,400 LOD | 80% | 924,000,000 LOD |
| > 11,050 LOD | 85% | 460,000,000 LOD |
| > 11,700 LOD | 90% | 337,000,000 LOD |
| > 12,350 LOD | 95% | 247,000,000 LOD | Total | 60,749,000,000 LOD |
Debate
These messages have been posted to debate on this bill:
| Date | 17:13:25, March 09, 2016 CET | From |  Great National Republican Guard | To | Debating the Tax Reform - 3995 |
| Message | Mr. Speaker, Here is the current state of the economy: https://gyazo.com/5997db475c15bb5027c7b69d6d8ef2cc We will track the changes that take place after this tax bill and a new budget are passed by the Presidium. -- Sid Landau, Finance Minister |
| Date | 17:16:12, March 09, 2016 CET | From | Great National Republican Guard | To | Debating the Tax Reform - 3995 |
| Message | Mr. Speaker, We estimate that Consumption will increase, as more money will remain in the hands of the people, especially the working class people. The working class and middle class, under our new tax system, will pay less than half of the taxes they currently pay under the system that was introduced by the anti-Nationalist government. -- Sid Landau, Finance Minister |
| Date | 01:57:23, March 10, 2016 CET | From | Great National Republican Guard | To | Debating the Tax Reform - 3995 |
| Message | Mr. Speaker, Considering this: - https://gyazo.com/889473cad83339800cc08bec46d7abd7 - https://gyazo.com/a6aa2fec159f9ce5879ef11b64bce1d6 We would like to present the changes that have occurred, so far, to the Presidium: - Consumption has increased by over 25,000,000,000 LOD, because the working class has less tax burden. - Though the corporate tax rate has been decreased, we get more revenue from corporate tax as businesses have more confidence in an economy run by the sensible policies of the GNRG. - There is an increase in revenue from tax on Luxury Goods, even though there was no increase in the tax rate of Luxury Goods, because more people are able to afford Luxury Goods now. - The tax on Essential Goods was doubled, but the revenue from the tax has more than doubled, because consumers are buying more than before; this is because the cuts in income tax allowed them to afford more. As predicted, the income tax cuts benefit the people more than the Essential Goods tax hike has cost them. We would like Members of the Presidium to remember this for the future, as we hope that the other parties in Lodamun will trust the GNRG's policy directives. -- Sid Landau, Finance Minister |
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Voting
| Vote | Seats | ||||
| yes |
Total Seats: 477 | ||||
| no | Total Seats: 0 | ||||
| abstain | Total Seats: 122 |
| Random fact: Particracy does not allow real-life fictional references (eg. Gandalf, Harry Potter, Luke Skywalker). |
| Random quote: "Perhaps the fact that we have seen millions voting themselves into complete dependence on a tyrant has made our generation understand that to choose one's government is not necessarily to secure freedom." - Friedrich Hayek |