====== Union Tax Law ======

[ [[Union Laws]] ]

//This law is amended by the [[Revised Safety of the Union Act]], the [[Bozzy Spine Recalibration]], and the [[Bozzy Spine Enhancement]].//

The Union charges taxes of member worlds, depending on the tax income of that world. The taxes are defined in such a way that those who have greater income pay more taxes percentage-wise. Thus, financially strong members subsidise financially weaker members.

All worlds pay using a rising scale model, currently having five levels. Fringe Worlds have the option of gaining certain Tax Deductions.

The tax brackets are as follows:

^ Tax Bracket ^ Percentage ^ Low Amount in Bracket ^ High Amount in Bracket ^
| First 1000 (:tax)     |  10%  |  0 |  1 000 |
| Next 1000 (:tax)      |  20%    |  1 001 |  2 000 |
| Next 1000 (:tax)      |  30%    |  3 001 |  4 000 |
| Next 1000 (:tax)      |  40%    |  4 001 |  5 000 |
| All (:tax) above this  |  50%    |  5 001 |  ∞ |

Note that taxes are rounded down per bracket. Thus if the amount of taxes in the first bracket is 88,999999, this is rounded down to 88.

==== Taxable Income ====

Taxes are due over the [[rules:taxes|planetary taxes]] worlds levy on their population. The following income sources are **not** taxed by the Union:

  - Taxes received in trade or as a gift from other Union systems
    * Note: Union systems only - taxes traded or gifted by foreign powers are taxed
  - Financial support granted by Union subsidies and grants of any type
  - Taxes received from sales to the [[rules:open_market]]
  - income from Corporate Headquarters
    * Note: corporate zones in Union systems only
