I suppose we’re starting with two different assumptions.
My assumption is UBI is tax free OR UBI is taxable income but the first $12,000 of income is tax free. Same difference, different language.
Your assumption would be that UBI is taxible...like SS is now. That’s a garbage policy.
If I recall, Rand Paul’s tax plan was that a person filing singly would not be taxed on their first 40K of income. Just about double that for filing jointly. Then there’s a 16% flat tax, no deductions. I personally liked that plan.
> Your assumption would be that UBI is taxible...like SS is now.
Not at all. What I'm saying is that the additional tax to fund the universality of the UBI would go in approximately the same place as the phase outs go for existing benefits, and they cancel out.
The advantage of putting the phase out on the tax side is that it's easier to see what's happening, so you don't accidentally create one income range where the marginal tax rate is 10% and an adjacent one where it's 110% because five independent programs all phase out at the same income level. Or impose higher marginal rates on lower income people than higher income people.
My assumption is UBI is tax free OR UBI is taxable income but the first $12,000 of income is tax free. Same difference, different language.
Your assumption would be that UBI is taxible...like SS is now. That’s a garbage policy.
If I recall, Rand Paul’s tax plan was that a person filing singly would not be taxed on their first 40K of income. Just about double that for filing jointly. Then there’s a 16% flat tax, no deductions. I personally liked that plan.