Tax Equity
Tax equity refers to the principle that individuals or entities should pay taxes based on their ability to contribute financially to public services. This concept emphasizes fairness in the tax system, where those with higher incomes or greater wealth contribute proportionally more than those with less. Tax equity seeks to reduce inequalities by ensuring that tax burdens and benefits are distributed justly, promoting social responsibility and community support. Essentially, it advocates for a system where everyone pays their fair share, contributing to a more equitable society.
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Tax equity refers to the principle that individuals and entities should pay taxes in proportion to their ability to pay. This means that those who earn more or have greater wealth contribute more, while those with lower incomes pay less. The goal is to create a fair tax system that addresses inequalities and provides essential public services. In practice, tax equity involves using progressive tax rates, deductions, and credits to ensure that the tax burden is distributed fairly, reflecting the diverse financial situations of taxpayers.