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0 -0.000164657841006426 -0.000164657841006426 0.00362247250214044 0.00391885661595204 0.00729434235658294 0.0066192452084568 0.0066192452084568
Stock impact report

How AI And Other Tech Could Wreck The Federal Tax System [Forbes]

International Business Machines Corporation (IBM) 
Last international business machines corporation earnings: 4/20 04:08 pm Check Earnings Report
US:NYSE Investor Relations: ibm.com/investor
Company Research Source: Forbes
Muskian hyperbole aside, AI and related technologies such as robots and quantum computing could have a profound effect on human labor. And if machines broadly replace workers, as Musk and many others believe, this transformation poses an existential threat to the US tax system, which is largely built on taxing labor income. Depending on how you count, between 65% and 83% of federal tax revenue is collected on wages and salaries. To the degree that tech replaces workers, taxes on labor income may decline. And, with the federal government running a nearly $2 trillion annual budget deficit, losing even fraction of those labor-related tax revenues would be a fiscal disaster. Payroll Taxes The largest share of labor-related tax is the payroll tax that supports Social Security and some of Medicare. Even if current revenues don't fall, Social Security and Medicare's Part A hospital insurance trust fund both face insolvency in eight years or less. To the degree tech replaces workers Show less Read more
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