Scott 1

Ahkeem Scott
5/3/15
ENG 111-67
Persuasive Essay
Taxes are defined as compulsory, unrequited payments to general government. Many
Americans complain about how much taxes they pay every year. Many of them are
paying an insurmountable amount of money compared to the income they are receiving.
All Americans should pay a flat tax in order to keep most of the money that they earn.
Increases in Federal and State budget deficits causes high tax interest rates. Taxes are
used to pay for public expenditures. The percentage of taxes taken from the population
varies on income from each individual.
Interest rates on taxes increase rapidly or sparingly depending on budget deficits.
There is a tax structure based on research known as the Darby effect. Which basically
explains the tax relation of interest rates and the expected rate of inflation so that the
expected rate of inflation remains constant. Interest rates causes employed citizens of the
US to pay higher taxes based on inflation. More money is paid toward and for the
government when inflation occurs. A flat tax would be ideal in this situation because no
matter how much inflation rises or how much the interest rate is, the employed citizens
would still be paying the same amount of money every time. There would be no incline in
how much money is paid to the government(The Journal of Applied Business and
Economics 11.2 (2010)).
People who make more money pay more money in taxes. While people who
dont make as much, dont pay as much in taxes to the government. A flat tax is much

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needed in this way because of the amount of taxes a more wealthier person would pay
compared to a lower class individual. The amount of tax money paid to the government
would be the same for each household no matter how much income is being received.
There would be no disagreement between politicians in this way because each party
would have the same terms in money being paid for public expenditures. The incomes of
households are altered by government intervention, through taxes and benefits. In
general, households with the highest amount of income pay more in taxes than they
receive in benefits, while the reverse is true for those with lower incomes(Barnard,
Andrew. "The Effects of Taxes and Benefits on Household Income, 2007/08.").
Some think that the tax rate should differ from income to income because it would
help the government financially. People with more money would pay more because they
make more and vice versa. Interest rates would differ for income but remain the same for
everyone because the amount of income would range and differ. A flat tax would suffice
but then again, the government would run more efficiently as far as public expenditure
spending goes. The flat tax is a way where every employed citizen pays the same amount
of money so there would be no disagreements and most people could keep most of their
earnings after taxes. And this way when tax filing comes, it would be somewhat easier for
the government to file for each individual as far as tax salary goes.
A flat tax for the United States is primarily an idea to adjust the way the
government and spending works. The interest rates play a big deal on taxes as well as the
income of the individual making money. The government takes more if you make more
and less if you make less. A flat tax should be implemented in a way so that everyone and
the wages being paid are equal. Taxes are basically payments to the government because

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you work and receive an income. They are unruly and depending how much you make,
depends how much they make just so you can get them taken from you and get them back
later in the year. The government would be much more by the people and for the people
with a flat tax.

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Works Citied
1. "Taxes." Oecd Factbook 2013: Economic, Environmental and Social Statistics.
Paris: Organisation for Economic Cooperation and Development, 2013. Credo
Reference. Web. 29 Apr 2015
2. Moghaddam, Masoud. "The Tax Structure of Interest Rates and the Darby Effect an Application of the M-TAR Error Correction Model." The Journal of Applied
Business and Economics 11.2 (2010): 55-64. ProQuest. Web. 29 Apr. 2015.
3. Barnard, Andrew. "The Effects of Taxes and Benefits on Household Income,
2007/08." Economic & Labour Market Review 3.8 (2009): 56-66. ProQuest. Web.
3 May 2015.