John Minto has advocated for 100% tax rate for any income earned over $250,000. The man is seriously deluded and cocooned from reality in his union job and leafy suburban home with rental income. In fact he probably comes dangerously close to earning the $250k himself which is why he probably picked that number.
In my world aiming so low as a target would earn you derision. My mates think that you aren’t in the “game” until you are earning $250k at the get go. That is the minimum amount for them to want to “play” with you in business.
You see at those levels of income, they are far from “eye-popping” as Minto describes them, they are actually enabling. Incomes over $250k allow you to have a reasonable, comfortable lifestyle and allow for some riskier and ultimately more profitable investing ensuring that the amount you earn each year gets ever higher. At the same time it allows you to employ good accountants, lawyers and structure specialists so that the greedy state doesn’t get its spendthrit mits upon your hard earned cash to give to the indolent, the idle, and the mendicant classes.
Minto is dead wrong and should in fact be advocating for a flat tax rate and all taxes to be the same across the board. GST, income, company tax all being the same rate thus eliminating the necessity to structure yourself in tax beneficial ways.
Essentially too Minto, someone who has never probably risked so much as a dollar ignmores the fact that almost everyone who earns over $250k has a huge element of risk attached to their income. Be they Directors obligations, at risk components of salary packages, commissions paid on the basis of completing sale, they usually have huge risk attached to their remuneration.
Wage pigs however have only one risk, that the business doesn’t need them anymore and sends them to the slaughterhouse. Perpetual Wage Slaves like Minto have never understood and will never understand the risk and reward system with the deployment of your own capital. They won’t because they never have, always pointing the jealous finger of socialism at those who do better in society.