Tuesday, January 1, 2013

The French Hypotethical Tax Solution that Can be Applied at the United States Fiscal Cliff

Palace of Versailles
Tampa -- Fl, Probably with what is happening right now in America show how weak the political system and how the Republican Party is acting as a totalitarian micro-regime in terms to seek House and Senate hegemony through different blockades without even thinking that their party had become a mere circus act that isn't a least bit entertaining due the inability of create a stimulus that would back the president initiatives as well follow their own motto to let the people "help themselves" but is not about letting the people to "fend" themselves to improve the country as there should a synergy between government and the folk in order to push the fiscal cliff and a new recession outside the annals of history.

The government of President Francois Hollande on Sunday 27th of 2012 said it would consider other alternatives of imposing a top income-tax rate of 75% on wealthy individuals after the country's constitutional authorities scrapped the plan. The Constitutional Council's decision is a blow to Francois Hollande who has vowed to shift the roles of the burden to the high-income generaring individuals in order to improve the country finances, is quite absurd that in the United States the same case scenario is happening and the so called "fiscal conservatives" are plummeting down the country because in their own eschatology "they believe by giving lower taxes to the rich or not investigating their fiscal heavens, they will create more jobs to the United States economy." while much of these jobs come from the middle class creation instead of high trending multinationals that only obscure the economy.

To explain the plan, to levy a 75% tax rate on annual incomes of more than €1 million/ roughly US$1.3 million) on annual incomes to individuals and not households who earn more than €1 million could be applied only to one person and not to a joint income. The court explained that it could be unconstitutional but not many homes on joint account made roughly that on a yearly basis even in the United States where the mostly the population is middle-class and the average is on US$35 K even on a joint income tax return. The law could be viable as the population who don't earn that much could be relieve and people such as founders of Bain Capital could help to relieve the economical stress instead of earning more money on a long term at the expense of a crisis.

France Prime Minister Jean-Marc Ayrault office intends to introduce a tax legislation for France's top earners in the next budget in 2013 that would conform to the ruling. The tax was expected to apply around 1,500 people and bring some €210 million in 2013, a just mere symbolic fraction of the country's budget that estimates around €300 billion, but the calculations made by Mr. Hollande was that unpopular spending cuts would be tolerated by the wider segments of the population once the tax rate had been introduced.


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