High-wage individuals and companies that perform better even during the economic crisis caused by the corona virus will have to pay extra taxes on a temporary basis to express their solidarity with the more affected layers. It contains International Monetary Fund (IMF) – MTI writes about Business Daily Financial Times.
According to the International Monetary Fund, a temporary tax would reduce social inequalities, which were only exacerbated by last year’s economic and health crisis. The organization hoped that finding that all parties see a role to play in the fight against the epidemic would reassure those most affected by the crisis.
Witter Caspar, head of tax affairs at the International Monetary Fund, told the Financial Times that the index increase in taxes for thriving strata during a crisis would strengthen social cohesion, even if it is not absolutely necessary for public finances.
“Countries should consider this option, which will help make it clear to their citizens that everyone contributes to post-epidemic recovery,” Caspar said. According to the International Monetary Fund, inequalities during epidemics have increased, and the younger and poorer sections of the population have been hit hardest by the crisis. He compared the proposal of the International Monetary Fund when the unity tax was introduced after the reunification of Germany.
In mid-March, the U.S. President Joe Biden has announced that those earning more than 000 400,000 a year can expect “small or large” tax increases. During his presidential campaign, Biden proposed a number of plans to raise taxes on businesses and high-income Americans. This raised the personal tax rate for high-income earners from 37 to 39.6 percent. A week ago, Biden announced another $ 2,000 billion development package, this time. In financial terms, he said, the corporate tax rate would be raised from 21 to 28 percent, and the tax rate would be even lower than it was between World War II and 2017.