Increasing taxes would raise prices and lower consumption.

IT IS COMMONLY BELIEVED THAT INCREASING TAXES WOULD CAUSE INFLATION AND

REDUCES

Correct subject-verb agreement

REDUCE

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CONSUMPTION.

THIS

ESSAY WILL DISCUSS THE ADVANTAGES AND DISADVANTAGES BEFORE REACHING A CONCLUSION.

FIRSTLY

,THE BENEFITS OF INCREASING TAX PER CENT CAN BE LOOKED INTO.

WHILE

THERE ARE MANY ADVANTAGES TO

THIS

ACTION, BETTER INCOME SOURCES FOR THE GOVERNMENT

AS WELL AS

LESS DISPARITY BETWEEN RICH AND POOR ARE DEFINITELY SOME OF THE IMPORTANT ONES.THE COUNTRY CAN ENJOY A BETTER BUDGET IF THEY CAN MAKE THEIR CITIZEN PAY MORE .

HOWEVER

, SPECIAL EMPHASIS SHOULD BE TAKEN TO ENSURE THAT ONLY THE WEALTHIER SECTION IS CHARGED MORE .

THUS

MAKING THE GOVERNING BODIES TAKE ACTION FOR THE WELFARE OF THE UNDERPRIVILEGED SOCIETY TO ENJOY A BETTER LIFE,EVENTUALLY WILL HELP IN REDUCING THE GAP BETWEEN LOW AND HIGH SOCIOECONOMIC CLASSES.

FOR EXAMPLE

, THE NEW TAX REGIME BY THE MINISTRY OF FINANCE OF INDIA HAS A SYSTEM IN WHICH PEOPLE WHO MAKE MORE INCOME THROUGH VARIOUS MEANS ARE CHARGED MORE.

SECONDLY

,THE NEGATIVE EFFECTS OF

THIS

STRATEGY.THOUGH

THIS

PROPOSAL WORKS WELL ON PAPER ,WE ALL ARE WELL AWARE THAT THE PRIVILEGED POPULATION WILL NEVER LET

THIS

HAPPEN BECAUSE THEY HAVE A BETTER INFLUENCE IN MAKING THESE PUBLIC POLICIES AND LAWS.

MOREOVER

,IT WOULD END UP

IN

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INCREASING THE PRICES OF DAILY NEEDS .IN TURN ,

THIS

WOULD LEAD TO REDUCED PURCHASE OF OTHER GOODS.

HENCE

, FORMS AN EVEN MORE UNFAIR DISTRIBUTION OF MONEY ACROSS THE INDIVIDUALS.

FOR INSTANCE

, THE PRESENT ECONOMIC CRISIS IN AMERICA IS

DUE TO

THESE KINDS OF HEFTY BILLS.

TO CONCLUDE

,INCREASING THE SHARE OF TAX BY THE GOVERNING BODIES IS NOT

A

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GOOD NEWS FOR THE COMMON MAN.IT WOULD ONLY MAKE THINGS WORSE .