Research Paper on:
Advantages and Disadvantages of Increasing Taxes

Unformatted Sample Text from the Research Paper:
long term benefit those who pay them and those who rely on government funding to live. While in many cases, an increase in tax may be used to pay of  local, state or federal deficits, in the case of taxes for benefit systems such as Social Security an increase in payroll tax may be the only option available in order  to maintain the program, currently expected to begin an annual deficit in 2018. Other tax increases can be seen to benefit residents in a particular community immediately as in the  case of Seattle area residents who have been asked to approve a tax increase to maintain the current park system. In a recent  document released by the DC Fiscal Policy Institute, the proposed budget for the fiscal year of 2004 is discussed in terms of a tax increase which would address a current  $150 million shortfall among other issues. The proposal has positive and negative affects on different portions of the population as it is targeted for residents with taxable incomes above $100,000  (Lazere, 2003). The proposal states that this is a "temporary (two-year) increase". Apparently, since 1999, the income tax rates have fallen as a result of the Tax Parity Act and  the new proposal would offset these tax cuts for the higher-income DC residents. Overall, it is stated that "some may characterize this as a substantial tax increase, but for the  vast majority of DC families, the tax increase would be far less than the income tax relief they have received since 1999" (Lazere, 2003). This tax increase will allow  those families who have lower incomes to not be affected while the city will still many to increase revenues by an expected $49 million. The new temporary tax rate of