Is there really a good reason why we have a payroll tax? Isn’t that just hiding the tax burden from the employee? Wouldn’t it be better to just straight up have a transparent income tax? Or?
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I dunno - they already do tax collection on the employee side through payroll, so why not make it explicit. And don’t get me started on employers being deputized to provide (and hence hide true cost of) health care..
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Australia has payroll taxes even though employers already act as collectors for employees' income and Medicare taxes. The difference here is that income taxes are federal, and payroll taxes are state based.
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