In today’s competitive global landscape, governments are in an inevitable position to rely on tax revenues to drive their economies. It is often argued that the few people who earn significantly higher incomes must pay more income tax. I strongly agree with this opinion as this would maintain social harmony and equality.
It is an undeniable fact that fewer people yield larger figures of income creates economic disparity. To illustrate this, in a developing country like India, the highest income group earning extremely higher incomes pursues a lavish lifestyle with luxury, while many people out there struggle for their basic living. In addition, this often disrupts social harmony among the masses. In many parts of the world, the visible differences in purchasing power, food consumption and healthcare facilities fuel ambiguity and chaos among the deprived public ones. Consequently, this leads to social insecurity and distress. Therefore, it is evident that people who earn high income must pay higher taxes.
Imposing higher rate of taxation on extremely high income earners is most widely suggested as a proactive measure in countering the above articulated issues. For instance, if a country collects more income tax from the fewer people who make more money, then the governments could provide much better services and equal facilities for its citizens while uplifting the lives of the lower income people. Thus, more taxation on the extremely high earners is highly beneficial for social development.
In conclusion, people who receive extremely high annual income should be taxed more to counter economic disparity and social distress. In my opinion, the people who generate higher income should be paying more income tax to support societal development. Also, in my perspective, these people can indulge in philanthropic activities by themselves rather than being highly taxed.