Quote:
Originally Posted by Trochu
I guess members contribute to the community in different ways.
So far you've stated:
"Like how Denmark has a 8% tax no matter how much income you make(need to work more to make more money)," and,
"Maximum tax rate is 59% not 80... Big difference... Like Canada Denmark has a progressive tax system so you have to make a fair bit of money to pay that maximum 59%"
So first its a flat tax, then its a progressive tax, then its 8% now its 59%. 
What did someone tell me on here not to long ago.... "maybe do some research before posting horrible false information...".  |
Bud you need to learn how to read both what I say and the link/information you posted...
Everyone in Denmark pays a flat rate 8% tax on income no matter how much or how little they make. In the wikipedia link they refer to it as gross tax. This means everyone no matter how much they make is contributing to the system and there is no free ride unlike here in Canada. The remaining 92% is treated as their taxable income.
The rest of their system is very complex with many different taxes and deductions. The basics are that it is a progressive system in which you pay higher taxes for portions exceeding certain amounts(same system used here in Canada). People making under ~10k CAD taxable income(so ~11k before any taxes) pay no income taxes other then the original 8% tax. Then on next 50k ish they pay municipal tax, federal tax, health tax and a couple other things coming out to around 37%. Then if they make more then ~80k CAD they pay another 15% federal tax.
After all is said and done their maximum tax including the 8% is 59%. I am not sure how much a person would have to earn to make that much though as it is a very complicated calculation with way too many deductions and taxes etc. I believe someone making around 100k pays around 45% taxes based on one thing I read, perhaps less if married and with kids as they have income sharing rules as well.