The Case for a Maximum Tax : A Look at Some Legal, Economic and Ethical Issues

Several Congresses have passed various forms of minimum tax, both at the individual and corporate level. They have even passed alternative minimum tax bills to squeeze out additional tax revenue that would not otherwise be forthcoming. The problem was caused by the philosophy of taxation they have adopted over the years.Rather than have the tax law function solely as a way to raise the revenue needed to keep the government running, various special interest groups and social do-gooders have persuaded Congress to incorporate much social engineering into the tax code. There are special provisions for oil companies, farmers, manufacturing companies, small business, homeowners, heads of household, families, sick people, blind people, people with children, and on and on. This article will examine the other side of the coin. Whereas numerous commentators have been yapping about some kind of minimum tax in order to increase their perceived view of equity, no one is talking about establishing a maximum tax to ensure that no one pays too much more than their fair share (whatever that is). Thus, the need for this article