my biggest problem with your idea is that someone decides what is "plenty enough to live on." i don't recognize anyone's right to determine that for me.
other than that little gripe, i'm not certain why this structure is markedly different from the one already in place save the shifting of zero tax liability to a higher income strata.
i'm in favor of a relatively flat tax curve that encompasses the entire band of the populace. EVERYONE should pay taxes, be that $1 a year for those in poverty or upwards of 25% for high-wage earners. tax liability would be figured along a curve, not a stair-stepped scheme. that way, people will not go to extravagant measures to hide base-income to keep themselves just under a tax bracket.
the tax curve will be based on percentages. that is, how you compare to your fellow citizens in income rank... not in dollar amounts. the curve would be adjusted yearly by congress to match economic conditions.
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If you will not fight when your victory will be sure and not too costly, you may come to the moment when you will have to fight with all the odds against you and only a precarious chance for survival. There may even be a worse case. You may have to fight when there is no hope of victory, because it is better to perish than to live as slaves.
~ Winston Churchill
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