[quote author=Dreambeliever link=topic=46360.msg1378436#msg1378436 date=1313107644]
I'm suprised anyone is disagreeing with you.
All of your points for the main part at valid.
Plus Rich people are exactly that because they avoid giving away amount of money they can no matter how small.
Every single wealthy person I know wouldn't spend $5 where they don't have to. So to think they wouldn't try and still find loopholes is crazy talk.
I'm not sure what the solution is but lowering the tax bracket on the wealthy is not it thats for sure.
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The line I have highlighted is why I believe lowering the tax rate could potentially bring in more tax.
People want to spend as little as they can. If the loopholes and tax avoidance schemes were totally free to find and set up and there was no risk then yes, they would still look for them.
They are, however, not free to set up and there is a risk involved.
So, BECAUSE people don't wish to lose a lot of their money, if the tax rate was lower it would be easier to pay it.
Basically if I was given a thousand pounds on the condition that I had to either give 500 to you or 250 to Singlerider, then of course I would give the 250 to Singlerider wouldn't I?
If, however, the system was changed so that I could either give 200 to you or 250 to Singlerider then I would give it to you instead.