No one wishes to pay taxes as it means money being taken out of your paycheck. It depends upon the state in which you live in, whether you pay the income taxes or not. It is quite an appealing thought to not pay the income taxes. There are some states which impose heavy taxes on the consumers on things like gas and groceries. Some states like Alaska put on high taxes on the companies that deal with the extraction of natural resources.
One of the main benefits of removing the income tax is that those states with no income tax on the living residents promotes their growth. People over there are much better and focused at creating nice jobs and limiting the young learners and beginners from moving to other states.
With a research conducted, it was revealed that there have been altogether nine states where there was no income tax were very consistent in their performances. They outperformed the rest of the states that had the highest number of income taxes.
Too much pressure on the poor
Although the jury believes that a state with no income tax is quite good as it relieves normal people of the burden of paying the tax, there is still a lot to discuss. There is no clear result about this. That is because these income taxes help the poor people a lot.
An income tax is considered as the wealth taken from those who can afford to pay and then distribute it among the poor. Sales taxes are same all the time. They do not change as per the earning and income level of the consumer. Sales tax treat everyone the same way.
These taxes however are unfair on the part of those people who are quite poor. The reason behind is this that those who earn the lowest have to give in a share of the lions of their home pay in order to buy those things on which the sales tax is imposed. Those who are wealthy and are on good earnings have to save only a very small portion of their income and have to pay a very small amount of sales tax.
Debate upon the income tax
If you consider the inner side of the story of income tax, you might change your way of thinking. If you are on the side of the government and think that the government should be involved in helping the society and shaping it, then you will surely agree that income tax is a good thing and that it should be implied in every state.
Income tax allows the wealth to be distributed amongst the poor and the policy makers can make use of the tax incentives and encourage more and more people to pay in to charities, donate to a worthy cause, get solar panels and promote many other healthy activities that benefit the state on the whole.
This all depends upon the government whether it is interested really in shaping the state. If the government imposes this rule and makes sure that this duty of distributing wealth is carried out safely, then income tax means that on the whole some good is being done due to it.
However, if you are someone who does not support the governments inclusion in shaping the society or if you have to pay a hefty amount of income then you might consider living in those states where there is no income tax at all.
The final word
Moving permanently in to some state where there is no income tax seems like a great idea. However, you have to find out if there are other taxes that you pay over there. For instance, sales and property tax. It can also be the other way around, that these sales and property taxes are more or equivalent to the income tax you had to pay in the state you were previously living in.
You have to look at your budget if you are moving in a state where there is no income tax to pay. Look at all the pros and cons of moving in to a state where there is no income tax to pay but very wisely!
