Small fable on taxes in France

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Small fable on taxes in France




by Christophe » 29/11/07, 08:52

Received by email by Capt_Maloche, that makes you think ...

Imagine that every day, 10 friends meet up to drink a brand beer and that the total bill amounts to 100 euros. (Normally, this would be 10 euros per person).

But our ten friends decided to pay this bill according to a distribution which is inspired by the calculation of income tax, which gave roughly this:

· The first 4 (the least wealthy, that is to say the poorest), would pay nothing.
· The fifth would pay 1 euro
· The sixth would pay 3 euros
· The seventh would pay 7 euros
· The eighth would pay 12 euros
· The ninth would pay 18 euros
The last (the richest ?!) should pay 59 euros.

The ten men met every day to drink their beer and seemed quite happy with their arrangement. Until the day when the tenant placed them before a dilemma:
"As you are good customers," he said, "I decided to give you a discount of 20 euros on the total bill. So you will now only pay your 10 beers for 80 euros. "

The group decided to continue paying the new amount the same way they would have paid their taxes. The first four continued to drink for free. But how were the other six, (paying customers), going to divide the 20 euros discount evenly?
They realized that 20 euros divided by 6 was 3.33 euros.
But if they subtracted this sum from their sharing then the 5th and 6th man would have to be paid to drink their beer, which was absurd.

The bar owner suggested that it would be fairer to reduce the addition of each by a percentage of the same order, so he did the math.

Which gave something like this:

· The 5th man, like the first four no longer paid anything. (one more poor!)
· The 6th paid 2 euros instead of 3 (33% reduction)
· The 7th paid 5 euros instead of 7 (28% reduction)
· The 8th paid 9 euros instead of 12 (25% reduction)
· The 9th paid 14 euros instead of 18 (22% reduction)
· The 10th paid 50 euros instead of 59 euros (16% reduction)

Each of the six “payers” paid less than before and the first 4 continued to drink for free.

But once outside the bar, everyone compared their economy:

"I only got 1 euro out of the 20 euros discount", says the 6th, he pointed to the 10th "he got 9 euros".

"Yeah! says the 5th, I only had 1 euro saved "

" That is true ! "Exclaimed the 7th," why would he have 9 euros when I only had 2? The richest had the biggest reduction "

"Wait a minute," shouted the 1st man in unison, "the four of us didn't get anything at all." The system exploits the poor. ”

The 9 men surrounded the 10th and insulted him.


The following night the 10th man (the richest, or the least poor!) Did not come. The nine others sat down and drank their beer without him. But when it came time to pay their bill, they discovered something important: they didn't have enough money to pay even half the bill.


And that, my dear friends, is the strict reflection of our tax system. The people who pay the most taxes get the most benefit from a tax reduction.

Tax the strongest, accuse them of being rich and they may not show themselves anymore. In fact, they could start going to drink abroad where the atmosphere is ..., how to say, ... more friendly!

For those who understand, no explanation is necessary.
For those who did not understand, no explanation is possible.
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by Capt_Maloche » 29/11/07, 14:33

Looks like you liked this one :D
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by Christophe » 29/11/07, 14:40

Well as soon as we remind certain truths to people I like it ...

Wouldn't you be the same kind with the striking civil servants?
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by nonoLeRobot » 29/11/07, 14:56

Yeah it's pretty bad I think, long live the tax ceiling. Let the richest be even richer and sleep on their mattresses which they do not know what to do.

Because I'm sure this story fits that, poor Johny.

The tax-by-tranche system has the great advantage of not taxing more on the same tranche. So what is taxed more is what is more.

Same for the ISF. Do not mix everything with the strikers who have nothing to do.
Last edited by nonoLeRobot the 29 / 11 / 07, 14: 59, 1 edited once.
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by Christophe » 29/11/07, 14:56

Uh, haven't you read the conclusion? There is none for the 2 "clans" right?

The people who pay the most taxes get the most benefit from a tax reduction.

Tax the strongest, accuse them of being rich and they may not show themselves anymore.
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by Christophe » 29/11/07, 15:10

ps: for the conclusion I think it is missing a bit.

they may not show themselves anymore ...and you, the less wealthy, will have to pay more taxes.
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by Christophe » 29/11/07, 15:17

nonoLeRobot wrote:The tax-by-tranche system has the great advantage of not taxing more on the same tranche. So what is taxed more is what is more.


Yes, I agree on the principle, but the strong imposed which are carved out is more taxes for others ... this is what the fable also meant ... and therefore the system, a priori egalitarian , is in fact less egalitarian in the event of "migration" of the very rich (99% of the very rich in France) ...

Once again what matters are the numbers in absolute terms, so taking less from more rich people usually means more income and less rich people who carve out and therefore less tax for us "poor" (logical not? ) ...

So you have to think carefully about the consequence aiming to reduce the taxes of the richest (this is the case currently I believe) because soon there will be no more in France ... and, incidentally, it is the "rich" who create our jobs ...

To meditate therefore ...
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by gilgamesh » 29/11/07, 15:46

It should not be forgotten that with a vat at 20, ....% even those who appear to pay nothing pay well enough. There are also all the taxes on income of state officials which are in very high theory .... but precisely the entity which pays and that which receives it is the same - then these very large amount paid on the income of civil servants does not correspond to real taxes. In fact the private economic activity is strangled by all the costs of the state and one must wonder if it is still responsible for working or if it should rather stop because the turnover that must be produced to touch a very small salary has become so astronomical that one feels rather like a civil servant of the state without salary which has the sole purpose of filling the state cash register. Normally if you buy a product the VAT corresponds practically to the manufacturing value of the product you buy or even more .. - without counting with other taxes, social security etc. the rest is fees, rent, transport and finally a very small salary for the idiot who gets bored with such bullshit. It will end badly .... With us in Portugal it is more than 50% of the BIP which is devoured by the state .... in France it must be the same thing.
It is just to say that it is fabulous of the post is funny but does not correspond exactly to reality ..
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by Christophe » 29/11/07, 16:00

Toutafé but the fable concerned taxes and not taxes ... but it is true that there is confusion in the terms ... the fable should have said "Tax and not Tax"

The French state budget is around 300 billion therefore far from the 50% of GDP which is 2000 billion.

Funny thing about the budget: did you know that TIPP / TIC only represents 15% of VAT (in absolute) see tax declaration 2006? The fall in tax revenues is the argument often put forward (by journalists in particular) to (supposedly) block technological advances or biofuels (HVP style). I am sorry for them but it would therefore suffice to increase the VAT of 15% (in relative) to amortize by 100% the income of the TIC / TIPP ...
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by Chazelle » 29/11/07, 18:09

pretty fable. "in any case long live France" with little nicola and her friends
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