NationStates Jolt Archive


Income Tax Nonsense

Dunroaming
21-09-2005, 09:18
My country has for months been in a position where the economy has imploded. Dunroaming has a low tax structure. The game model is flawed vis-a-vis income tax. Countless countries have an average tax rate of 100 per cent and yet apparently have a booming private sector.
With a 100 per cent tax rate there is simply no money for any private sector--ALL income is taken in tax. In fact if all income is taken in tax, all citizens would have to rely on government hand outs merely to survive. Even in the most rabid of Communist countries, something was always left to the private citizen.
This flaw in the game needs correction.
Automagfreek
21-09-2005, 14:12
This flaw in the game needs correction.

Not really. This has already been discussed in the past.
The Czardaian envoy
21-09-2005, 17:27
Not really. This has already been discussed in the past.
You're only saying that because you exploit those stats... ;)


Seriously, however: The private sector can be doing very well with a 100% tax rate. It can sell stuff to the government, which will provide for its citizens whatever they need in return for all of their income. I believe that would work very well. It just requires a bit of thought and a whole lot of imagination and disregard for the facts. :D
Frangland
21-09-2005, 17:34
My country has for months been in a position where the economy has imploded. Dunroaming has a low tax structure. The game model is flawed vis-a-vis income tax. Countless countries have an average tax rate of 100 per cent and yet apparently have a booming private sector.
With a 100 per cent tax rate there is simply no money for any private sector--ALL income is taken in tax. In fact if all income is taken in tax, all citizens would have to rely on government hand outs merely to survive. Even in the most rabid of Communist countries, something was always left to the private citizen.
This flaw in the game needs correction.

continually make pro-business decisions and your economy should improve.
Dunroaming
22-09-2005, 01:16
With 100 per cent tax there is no private sector. If the government takes all income, there is nothing left. No money, no incentives, no rewards, zlilch!
The Macabees
22-09-2005, 01:21
That might explain why nations with a 30% income tax rate have more powerful economies that I do, when I have a 100% income tax rate.
Czardas
22-09-2005, 18:51
That might explain why nations with a 30% income tax rate have more powerful economies that I do, when I have a 100% income tax rate.
Nonsense. A nation with a 30% income tax rate can have an 'Imploded' economy and I can personally name at least 20 nations with good economies and high taxes. 'Matter of fact whenever I seem to reach a 100% tax rate, my economy starts improving... Czardas has 87% and a "Fair" economy where before I answered some choice issues it had 68% and "Basket Case"...
The Macabees
22-09-2005, 23:13
Nonsense. A nation with a 30% income tax rate can have an 'Imploded' economy and I can personally name at least 20 nations with good economies and high taxes. 'Matter of fact whenever I seem to reach a 100% tax rate, my economy starts improving... Czardas has 87% and a "Fair" economy where before I answered some choice issues it had 68% and "Basket Case"...


And yet, New Empire has almost nothing worth of a tax rate, and surpasses me economically.
Gruenberg
22-09-2005, 23:26
Firstly, as has been pointed out, it's not valid to assume PERSONAL INCOME tax will inflict so much damage on corporate development.

Besides from that, though, you're talking about making a coding change, which will not happen (see the Tech forum stickies).
Dunroaming
23-09-2005, 11:01
If all citizens are taxed at 100 per cent, there will be no corporations because no one will have any disposable income to purchase goods.
Control Group XIII
23-09-2005, 11:10
With 100 per cent tax there is no private sector. If the government takes all income, there is nothing left. No money, no incentives, no rewards, zlilch!

Yes, but it is income tax: all wages go to the gvernment, this says nothing about corperate tax, which for all we know could be at zero. The tax system is grossly unrealistic though I agree with that much.
Control Group XIII
23-09-2005, 11:12
If all citizens are taxed at 100 per cent, there will be no corporations because no one will have any disposable income to purchase goods.

The mony does not dissapear, the government spends it, therefor there is still consumption.
Czardas
23-09-2005, 17:06
If all citizens are taxed at 100 per cent, there will be no corporations because no one will have any disposable income to purchase goods.
Yes, but the corporations will then sell their things to the government, which will provide them to the citizens in return for all of their money. It kind of works well...in a screwed-up sort of way...
Gruenberg
23-09-2005, 17:19
Enough with this. This sort of discussion does not belong in Technical. As AMF mentioned in the first reply, this is a coding change that will not be made. There is a stickied list of rejected proposed changes in this forum.

Discussion of tax systems belongs elsewhere: I agree the NS tax system is far from perfect, but it is extremely unlikely that it will be changed. I think that once a mod has given Dunroaming an official answer, this thread should be locked, and the discussion of the NS tax system split to Gameplay. I may well be wrong, of course, but I don't think that in any case much more useful discussion can come of this thread.