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In order to raise revenue, the federal government planned a

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Intern
Intern
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Joined: 09 Oct 2015
Posts: 49

Kudos [?]: 13 [0], given: 15

Re: In order to raise revenue, the federal government planned a [#permalink]

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New post 31 Jul 2016, 02:38
00:00
A
B
C
D
E

Difficulty:

  45% (medium)

Question Stats:

64% (01:17) correct 36% (01:35) wrong based on 1253 sessions

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Hi All,

While i agree that option C talks about the penalties which are abolished as per the new proposal, I want to explain why did it become a contender in the first place. Once we understand that, I will be able to explain why is it not a strengthener actually.

The conclusion said that the federal govt will collect a far lower PERCENTAGE OF THE TOTAL TAX owed by delinquents than did state governments. We need to strengthen the conclusion and I will provide an example of how option C SEEMS to do that.


EXAMPLE

A person A owed 100 $ as federal and 100 $ as state tax. Now lets assume federal penalty was 10 % of the tax owed and state penalty was 2 %

So total taxes with the penalty:

Federal : 110 $
State: 102 $

However since the proposed plan only collects 100 dollars in each case, state government earned 98 percent of the total tax it COULD have received ( 100/ 102) whereas federal government only receives 90 percent ( 100/110).

BUT the problem here is that we missed a key statement in the premise itself. The premise states that the new plan allows the delinquents to pay the TOTAL owed tax WITHOUT the penalties. Then later in the conclusion it actually refers to the total tax ( without the penalties) and not actually the total tax the govt COULD have earned.

I made the same mistake and I realised that we need to take official questions just by what is written and not what can be implied. If the question does not explicitly mention COULD, we shouldnt assume.

I hope that this explaination is able to calm the storms in some of your heads. Also I am very new to the verbal analysis culture and I will be more than happy to take feedbacks from the any1 who find the explanation above flawed!.

All the best :)
[Reveal] Spoiler: OA

Kudos [?]: 13 [0], given: 15

Intern
Intern
avatar
Joined: 09 Oct 2015
Posts: 49

Kudos [?]: 13 [0], given: 15

Re: In order to raise revenue, the federal government planned a [#permalink]

Show Tags

New post 31 Jul 2016, 02:39
Hi All,

While i agree that option C talks about the penalties which are abolished as per the new proposal, I want to explain why did it become a contender in the first place. Once we understand that, I will be able to explain why is it not a strengthener actually.

The conclusion said that the federal govt will collect a far lower PERCENTAGE OF THE TOTAL TAX owed by delinquents than did state governments. We need to strengthen the conclusion and I will provide an example how option C SEEMS to do that.


EXAMPLE
A person A owed 100 $ as federal and 100 $ as state tax. Now lets assume federal penalty was 10 % of the tax owed and state penalty was 2 %

So total taxes with the penalty:

Federal : 110 $
State: 102 $

However since the proposed plan only collects 100 dollars in each case, state government earned 98 percent of the total tax it COULD have received ( 100/ 102) whereas federal government only receives 90 percent ( 100/110).

BUT the problem here is that we missed a key statement in the premise itself. The premise states that the new plan allows the delinquents to pay the TOTAL owed tax WITHOUT the penalties. Then later in the conclusion it actually refers to the total tax ( without the penalties) and not actually the total tax the govt COULD have earned.

I made the same mistake and I realised that we need to take official questions just by what is written and not what can be implied. If the question does not explicitly mention COULD, we shouldnt assume.

I hope that this explaination is able to calm the storms in some of your heads. Also I am very new to the verbal analysis culture and I will be more than happy to take feedbacks from the any1 who find the explanation above flawed!.

All the best :)

Kudos [?]: 13 [0], given: 15

Re: In order to raise revenue, the federal government planned a   [#permalink] 31 Jul 2016, 02:39
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In order to raise revenue, the federal government planned a

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