Taxes | Armstrong Economics

QUESTION: Wasn’t there an income in Britain under Addington in 1803 to pay for the war against Napoleon predate the USA? Is the income tax voluntary? GH ANSWER: Yes that is true. However, it actually predates even that. Income tax was first implemented in Great Britain by William Pitt the Younger in his budget of December 1798 to pay for weapons and equipment in preparation for the Napoleonic Wars. This was not really a Marxist/Socialism philosophy yet it was a graduated (progressive) income tax. It began at 2 pence on the pound (1/120) on incomes over ยฃ60 and increased up to a maximum of 2 shillings (10%) on incomes of over ยฃ200. It produced only about 60% of expectations. It was Pitt’s income tax was levied from 1799 to 1802, when it was abolished by Henry Addington during the Peace of Amiens. However, Addington had become prime minister in 1801, after Pitt’s resignation. Addington then reintroduced the income tax in 1803 when hostilities once again appeared. This time it was not abolished in 1816, one year after the Battle of Waterloo. Addington’s Act differed for this was a tax on ‘contribution of the profits arising from property, professions, trades and offices’ avoiding the use of the word “income”. The Act did allow taxation at the source meaning your account at the Bank of England was directed to deduct a tax amount from your account. This included a tax on interest paid to gilt holders. The maximum tax rate under Addington’s Act was 5%, which was half that of Pitt’s, but it was greatly expanded resulting in a tax increase of about 50% These were imposed out of necessity. The taxes signed by President Taft were more of a socialistic philosophy which was gaining support at least prior to the Russian Revolution in 1917. The rise of the “progressive” movement came into real force with the Panic of 1893. As far as the “voluntary” nature of the tax that is strictly true. However, the tax has a duty to file. The crime is a failure to file – not a failure to pay.
โ€” Read on www.armstrongeconomics.com/world-news/taxes/taxes/

Trump aides try to quash tax hike rumors amid infrastructure talks – POLITICO

Senior advisers have repeatedly downplayed the possibility in private meetings with fiscal conservatives who are expressing alarm.
โ€” Read on www.politico.com/story/2019/05/17/trump-tax-hike-rumors-infrastructure-1331703

Interesting that the Democrats are not wanting to discuss a plan to pay for all of the illegal aliens coming in from our Southern border, or any of the wars we are involved in. ๐Ÿคจ๐Ÿง

The Next Major Shift in Society | Armstrong Economics

QUESTION: Do you see this new age of the internet destroying jobs that result in a Great Depression as you have illustrated with the advancement of the combustion engine in altering the agricultural economy as we move into the future? What is the future for our children? Thank you KL ANSWER: Society historically moves through these great advancements. As an empire rises, civilization expands where coming together means the sum is greater than the individual or small bands of tribes. The oldest known city, discovered in Turkey, shows advanced houses with wall paintings and modern advancements. Coming together created more jobs where someone artistic could then create paintings in houses rather than tilling the soil. Civilization becomes the key to advancement. What then happens is the government becomes corrupt and greedy. Once you reach that stage, people begin to leave the main centers. In the case of Rome, it peaked around 180 AD with a population of about 1 million and it collapsed to just 15,000. As people fled the cities due to corruption, society then moved back to fragmentation and into the feudal age. People then worked as serfs, tilling the soil for the landowner, and received free lodging along with 20% of the crop. Then the Black Death came and wiped out 50% of the population during the 14th century. Suddenly, there was a shortage of labor so landlords began to pay wages on top of the free lodging and food deals. Government smelled the money and began to tax. This led to the first tax rebellions during the 1300s. The first peasant tax uprising over taxation was in France during 1358. This was followed by a similar uprising against taxation in England led by Wat Tyler in 1381 that was a bloody affair. With the invention of the steam engine, the industrial revolution began. Trains became the 19th-century version of the internet. This gave birth to mail order. Suddenly, companies like Sears could publish a catalog and it was distributed around the country by trains. People would go to a local general store and order from the catalog and Sears would then ship the order by train. It is the very same business model as we see today with Amazon, it is just more instant now with the internet. This time, there is no need to go to the general store to order. You do that online, so now the modern business model replaces the general store. Governments have relied upon consumer taxes, so as stores vanish, they will go after sellers on the internet which creates a question of jurisdiction legally. How can a state punish a company who is not located in their state? How can they demand they pay taxes when there is no right to representation in that state? Sounds familiar – NO TAXATION WITHOUT REPRESENTATION! The bottom line is always the same. The taxation and rule of law have collapsed and moved into the same position that threatens the break-up of nations, once again, as has every empire to date. In this regard, the internet is not merely the next advancement in society so children should be looking at technology for the future and not the old traditional jobs. The various governments will collapse for they have abused their power and are unsustainable. Society will have to go through a readjustment on a major scale. It is not all doom and gloom. This is also a fantastic opportunity to hit the control-alt-delete button and begin anew.
โ€” Read on www.armstrongeconomics.com/armstrongeconomics101/understanding-cycles/the-next-major-shift-in-society/

California to Tax Anything & Everything They Can Think Of | Armstrong Economics

COMMENT: Marty, You have to help us out here. California tried to tax text messages. The feds stopped that. Now, LA county wants to tax Uber and lyft. They’re already taxing us, I think, for mosquito control. The mosquito control only hands out info too. It does no real work. This is crazy. Everywhere in California, they’re trying to shake us out of every cent. Is there anything we can do to stop this? P REPLY: Sorry. This is how governments commit suicide. Instead of dealing with the problem and looking at this from the long-term view, all they care about is what is in front of their nose. The attitude is to just raise some tax to meet the next expenditure. They do not look at this and where it ends up. Historically, if Rome had taxed people at 50%, it would have never lasted 1,000 years. There is no hope in sight. The people are complacent and until they realize that all of these taxes are reducing their standard of living, then and only then will change unfold in the form of massive civil unrest, overthrowing governments, and the end of career politicians. Tax rebellions have been the source of revolution since the 14th century. Governments never learn. They always have to oppress people to expand their own greed and power. Politicians keep blaming the rich. But no matter what they force the rich to pay, politicians will spend more. Their own pension systems where their state employees never contributed anything are collapsing. There is no possible way to prevent this economic disaster at the state/province and municipal levels. They cannot create money as the federal level can so all they can do is tax people into poverty. So enjoy life while you can. Governments only look at the immediate future and never tomorrow. Hence, they are doing their best to ensure the decline and fall of everything thanks to their complete mismanagement and self-interest. Representative governments have never worked for once you have career politicians, they will never place the interests of the people before their own.
โ€” Read on www.armstrongeconomics.com/world-news/taxes/california-to-tax-anything-everything-they-can-think-of/

Simple solution; shrink the government ๐Ÿง๐Ÿคจ