I have a question concerning income tax rates on NationStates. For the majority of my country's history, according to the front page, it has had an income tax rate of 100% (and yet, I'm a capitalist paradise, but that's besides the point). I've heard rumors of a glitch that disallow going down from that rate, and I've already answered countless issues to decrease my tax rate.
Does the formula which gets this rate go beyond 100%? That is, if I've been answering issues which will increase taxes in the past five years of my history in the game does that mean that my tax rate can be up to 200-300%? Or, is the rumor true that there is a glitch?
Does anybody have a link to that NS economic calculator that gave a "true" tax rate (mine was above 100% last time I checked that calculator; but I forgot which one it was)? Thanks.
I can't answer everything, but I do know that the tax rate does go beyond 100%, I think infinitely. It took me quite a while to get mine down below 100% again. As for the glitch, I've never heard of it, but it is possible I guess.
It's not so much a glitch as that there can be no percentage larger than 100%.
And it works the other way around, too: Keep cutting government spending when you've reached "Income tax is unheard of" and after a while you'll be able to increase spending again without having to reintroduce taxation...
This is grave digging, but I thought I'd share that when I stopped military spending my tax rate went from 100%+ to 0%.
This is grave digging, but I thought I'd share that when I stopped military spending my tax rate went from 100%+ to 0%.Eep! Just how large were your nation's armed forces?!?
Something like 45% of my budget went into the military. At the time my government budget was a lot higher than it is right now. I believe it was somewhere around $70 trillion, or something like that. The crazy thing is that it only took one issue to eliminate my entire military budget and income tax rate (that one where they ask you whether you want to increase the Navy's, Air Force's or Army's budget, or not increase any at all). I thought it would avoid increase spending, but not necessarily cut spending entirely. Meh.
It took me a while to get my income tax from 80 percentile to 0. Take the motion of decreasing taxes on every fiscal related issue raised and your income tax will slowly decrease. It took me about 2-3 months to achieve that goal but that might be different for you since you kept those high income tax rates for so long.