business.time.com | What Should Be Done About Growing Inequality?


 

business.time.com

America is becoming more unequal economically, and most people find that disturbing. Indeed, the trend toward greater inequality has been one of the consistent themes of the election campaign. Some believe that inequality is necessary to reward hard work, achievement and entrepreneurship but think that the current level is too extreme. Others blame unfair tax policies and see the extent of today’s inequality as a sign that the government has abandoned the goal of equal opportunity.

In fact, whenever inequality increases in a society, there are both good reasons for the trend — that is, reasons we should not discourage — as well as bad ones. To best address the genuine problems caused by inequality today, it’s essential to identify the bad reasons and focus on reducing those.

First, though, let’s be clear: there’s no doubt that the very richest in the U.S. have been getting richer. One of the often quoted indicators, albeit a simplistic one, is the share of pretax income going to the top 1% of the population. These data suggest that the U.S. was most equal right before the oil crisis hit in the early 1970s, and that it has since returned to levels of inequality not seen since the Great Depression.

More sophisticated indicators, like the Gini coefficient, also show the U.S. becoming notably more unequal. As a generality, countries such as Brazil and South Africa rate high on this scale, while most European countries have lower levels of inequality. The U.S. is in between – at almost the same level as China. Prior to 1980, the U.S. was much closer to the European level, and some countries — such as France and Italy — actually had higher levels of inequality at that time.

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Philadelphia Wants $300 Business License From Bloggers Who Make No Money

By Adrianne Jeffries

WordPress.comThe city of Philadelphia is demanding money from bloggers who were honest enough to report the meagerest – $11, $50 – of revenue from ads or donations.

According to the law, any blogger who enables advertising is required to register as a business, pay for a license and pay taxes on their profits no matter how small, the Philadelphia City Paper reported last week.

hobby-blog.jpg

Philadelphia requires a license for the privilege of doing business when there is “activity for profit,” a tax attorney told the paper, even if the activity did not earn a profit the year before or may never turn a profit.

The license is $300 for a lifetime or $50 a year.

But the city only knows about the ads you’re placing on your freely-hosted blog if you report that income on your taxes.
Bloggers are just a subset of workers affected by this regressive tax. According to the city’s strict rules, any freelancer based in the city qualifies as a business and needs to get the license.


By Adrianne Jeffries <!– –>

WordPress.comThe city of Philadelphia is demanding money from bloggers who were honest enough to report the meagerest – $11, $50 – of revenue from ads or donations.

According to the law, any blogger who enables advertising is required to register as a business, pay for a license and pay taxes on their profits no matter how small, the Philadelphia City Paper reported last week.

hobby-blog.jpg

Philadelphia requires a license for the privilege of doing business when there is “activity for profit,” a tax attorney told the paper, even if the activity did not earn a profit the year before or may never turn a profit.

The license is $300 for a lifetime or $50 a year.

But the city only knows about the ads you’re placing on your freely-hosted blog if you report that income on your taxes. Leer más “Philadelphia Wants $300 Business License From Bloggers Who Make No Money”

10 tips to beat Capital Gains Tax before the budget

David Cameron was willing to offer racing tips to radio listeners today but little comfort for savers who fear coalition government plans to raise Capital Gains Tax (CGT) in next month’s emergency budget.

While the Prime Minister said he would “listen” to concerns about what could amount to retrospective taxation on long term savings and investments, he made no promises about what will happen to CGT on June 22.

So, people with substantial gains should consider taking action before then. Here are 10 tips for owners of second homes and buy to let landlords on how to minimise CGT liabilities under the current rules.


Assorted international currency notes.
Image via Wikipedia

David Cameron was willing to offer racing tips to radio listeners today  but little comfort for savers who fear coalition government plans to raise Capital Gains Tax (CGT) in next month’s emergency budget.

While the Prime Minister said he would “listen” to concerns about what could amount to retrospective taxation on long term savings and investments, he made no promises about what will happen to CGT on June 22.

So, people with substantial gains should consider taking action before then. Here are 10 tips for owners of second homes and buy to let landlords on how to minimise CGT liabilities under the current rules. Leer más “10 tips to beat Capital Gains Tax before the budget”