Raising Revenue For The Federal Budget Essay - 2176 Words

To raise revenue for the federal budget in hopes to improve and grow a country and its economy, the government uses methods of taxation. These methods are usually structured in such a way that they take the well being and best interest of the citizens into consideration. The revenue raised is used by the federal budget to fund the governmental programs implemented to keep the elderly, disabled, and the unemployed from falling below the poverty line. However, in regards to which tax system a country has, the government will always benefit in some way or the other. In the United States of America, there is a progressive taxation system where the rates are not fixed. Today, many taxpayers strive to familiarize themselves with the current tax system but many find it hard to do. Thus, the topic has been debated for many years now as to whether or not the United States government should change the current tax system and implement a flat tax system in its place to help reduce the strain on taxpayers by figuring out how tax rate should be distributed among the economic classes. Taxation has been a part of the United States history since the U.S. became an independent country in the 1700’s. It was one of the main reasons for the U.S to rebel against Great Britain, as a result, the American Revolution occurred due to the unfair taxes and the taxpayers felt that they were being taxed with no representation since they were not able to vote on the taxes they had to pay (Smith,Show MoreRelatedTaxes: Distributional Effects Essay1321 Words   |  6 Pagesthis time of economic crisis the top priority is to see revenue growth. It is important there is a fiscal solution to create a sustainable budget agreement providing fairness and a logical taxation process for both higher income and lower income people. Throughout this span of time, trying to figure out a budget deal, we see trends of tax cuts, raising of taxes and spending and investing. All of these trends aim at the same mission to raise revenue and create a stable fiscal environment for the futureRead MoreNational Deficit and National Debt Essay982 Words   |  4 Pagesfinally reached. Currently the national policy on the debt is to continue raising the debt limit until a solution is found that is agreeable between both parties in Congress. The two main issues of over spending and the constant raising of the debts ceiling by Congress can both be resolved by government spending reform, balancing the federal budget and initiating pro-growth policies in order to increase the government’s tax revenue. The debt ceiling is a term that holds a lot power and is currently controllingRead MoreState Budgeting Issues 1484 Words   |  6 Pagesday all states have struggled to balance their budget and not run a deficit. Throughout American history, this is said to be the worst recession since 1947 after World War II. Revenues fell substantially and unemployment went into the double digits. Throughout this struggle we’ve seen cuts in education, public services, increases in taxes and spending cuts. This recession has affected businesses and residence raging from young to elderly. The federal government has stepped in to help by providingRead MoreFederal Budget Deficit1343 Words   |  6 PagesExcessive Borrowing: Our Federal Government s Budget Deficit Maria comes home one day earlier than usual. Her family, two daughters of age five and eight and a stay-at-home husband, is surprised to see her so early and unexpectedly. The tired look on her face reveals the experience she had at work. She brings out a sluggish smile as her daughters rush up to greet her with their warm embraces, reminding her of the happiness they constantly provide but also saddened by their questionable futureRead MoreManaging Accountability Paper1638 Words   |  7 PagesDevelopment Block Grant Program that give a positive impact to individuals by creating jobs and rehabilitating poverty stricken neighborhoods that not only provide a community with hope but also stimulate economic growth of the economy. Local, state, and federal governments also provide its citizens with advantages of amenities such as recreational activities, upgrading of water systems, and the maintenance and construction of roads and highways that spark growth of communities and econom y of the area. TheRead MoreThe State of the Federal Budget940 Words   |  4 PagesWhat is the current state of the Federal Budget? According to Shultz (2002), individuals and businesses fund the Federal Government through personal income and payroll taxes. With the unemployment rate at 8.1% as of January 1st, 2014 (Bureau of Labor Statistics, 2014), created an overall shortage in both individual and business taxes. Segal (2010) points out that America has not had a balanced budget since 2001. In 2008 the US national debt held by foreign holdings was at 48%, while the publicRead MoreThe Australian Federal Budget for 2014/2015 Essay1325 Words   |  6 PagesThe key initiatives of 2014/15 Federal Budget aimed at achieving the government’s economic objectives: The 2014‑15 Budget is part of the Government’s Economic Action Approach to repair the budget and build a strong and prosperous economy within the next few years. The substantial savings decisions in this Budget put Australia back on track to a sustainable and responsible budget position. The Government economic objectives are to provide for Australia; full employment, economic growth, externalRead MoreWashington Is The Largest And The 13th Most Populous State887 Words   |  4 Pagesprograms for bachelor’s and master’s degrees. With this being said, higher education accounts for approximately 18.1% of the total state budget and 8.2% of the general fund. Unfortunately this is still far below the â€Å"maintenance level† that is required for the universities to provide the same level of service as they did the year before. A maintenance-level budget includes cost increases over which the institutions have no control, such as negotiated wage and benefit agreements, inflation in the costRead MoreState Center Case Study Solution1205 Words   |  5 Pagesmillion deficit and proposed a 0.75 percent increase in sales taxes and other measures to cut spending and increase revenue to prevent defaulting at yesterday’s City Council meeting. City Treasurer and Clerk E.Z. Million announced that he, Mayor Rudy Walker and the City Manager John Paul Black had developed a plan to prevent a shortfall in the yearly budget, with a majority of the new revenue coming from increasing the sales tax to two percent from 1.25 percent, this plan was controversial with the membersRead MoreThe Gross Domestic Product Is A Economic Impact On The Economy1493 Words   |  6 Pagesuseful to see spending and revenue as a percentage of GDP rather than raw dollars because it gives an accurate proportion of governments spending and revenue, it is a performance measure to know how well the economy of a country is. The Factors being controlled by this approach is inflation, deflation, economic expansion and trends, currency rates and fluctuation. 1b.1940- 1945 saw the economy of the nation at a very high government spending GDP at 43% and revenue at 20%, meaning the government