Friday, October 18, 2019

Targeted tax Essay Example | Topics and Well Written Essays - 750 words - 1

Targeted tax - Essay Example They have also lowered the taxes imposed on goods and services by two points and levied more taxes on people’s income. This may encourage people to buy more goods since the goods are cheaper. They have used the money obtained through taxation as a way of improving the people’s welfare this through the child care system. The Universal Child Care Benefit Fund was a proposition that was made by the Conservative party that was meant to cater for the need of the children. The monthly provision of $ 100 a month that was to meet the cost of raising a child was later raised to $ 160 a month to meet the increased cost. Though the amount was meant to cater for the needs of the young children it never met its intended purpose. Most of these policies that were being implemented were done so from the motive of being more popular. The reduction of taxes was seen as a move to gain more popularity with the Conservatives who were the proponents’ of the policy. The reduction of taxes was meant to achieve equality and to ensure that the tax levied was proportional to the amount of income that one made. It did not achieve that goal as it favored some families and discriminated against some families as the tax levied was not equal in all families (Schanz & Mansour, 2013). They even introduced tax credits to its citizens, which was a small subsidy that was given to the citizens to ensure that they paid less tax. Though the tax relief was implemented it did little in altering peoples spending habits and neither did it influence people’s behavior. The Conservatives who came up and implemented these policies did it as a way of gaining more popularity but were oblivious of the economic impacts they had even to the Treasury. The Americans were supposed to be grateful to the cheques that were being sent to them by the federal government. They introduced the Family Tax Cut which

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