Like my views on many criminal justice issues, I’m a bit conflicted about this BBC story I saw on Drudge about a Swedish driver who is being fined about $1 million by Swiss authorities for driving 180 mph. This sounds absurd (and at some level, of course, it is), but if the idea of a fine is to deter speeders, then penalties based on income and/or wealth can be appropriate. On the other hand, I don’t like revenue-hungry politicians. I don’t like speed traps (though that’s presumably not an issue in this instance). And I don’t like class warfare policies designed to poke rich people in the eye for the sin of, well, being rich. Feedback is welcome, as always.
A Swedish motorist caught driving at 290km/h (180mph) in Switzerland could be given a world-record speeding fine of SFr1.08m ($1m; £656,000), prosecutors say. The 37-year-old, who has not been named, was clocked driving his Mercedes sports car at 170km/h over the limit. Under Swiss law, the level of fine is determined by the wealth of the driver and the speed recorded. In January, a Swiss driver was fined $290,000 – the current world record.
[…] By the way, I will freely confess that I’m sympathetic to class-warfare-based fines for speeding. […]
People are conflating income taxes with fines for speeding – the principle/idea behind each is completely different, despite both resulting in taxpayer’s money going to government.
If a poor person did the exact same deed, but was fined $100 instead (1% of $10,000 income), is that appropriate?
Before someone responds with semantics like “How can a person with low income afford a fast car?” There are plenty of poor people who pour all their money into ridiculous things; or maybe he stole the fast car? None of that matters.
This type of thing will only cause city officials to pressure cops to issue tickets specifically to get greater tax revenue (directed at the middle and high income people), while completely ignoring the actual issue of safety. Everyone has already heard of – or experienced – speed traps and ticket-writing-happy police that supposedly don’t have “quotas”.
Should this notion apply to other crimes, like murder? A poor person receives 5 years in prison (b/c their poor and maybe they had a tough childhood?) versus a rich murderer receives 25? I guarantee that this line of reasoning WILL spill over into other areas.
– This is coming from someone who is poor btw.
[…] consequences when they have an unfortunate encounter with local law enforcement. Maybe we should be like Switzerland and proportionately adjust fines based on wealth. I don’t suggest that because I want local […]
The fines are set based on some many days of income. A person earning $10 and hour might get an $80 fine – one days income. A stock broker getting the same fine – one days income annual bonus included – could be much higher, as in the case in this article.
The idea is not to get more revenue – speeding is much less of a revenue issue in Europe and general handled by cameras – but to have an appropriate punishment. Certainly an $80 fine for someone earning $100Mil a year – a fine of $1Mil represents 3 days of income – might be necessary to act as a deterrent. It also teaches respect for the law; wealth doesn’t buy freedom from the law.
I support it, especially when I don’t need to pay the fine. My last speeding ticket was 25€ in Germany. 🙂
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[…] Should rich people pay higher speeding fines? […]
[…] Should rich people pay higher speeding fines? […]
[…] Should rich people pay higher speeding fines? […]
just make it simple everything is cost dependent on your income.
Make too much and want a movie ticket you pay more. Go fo dinner at a restaurant, they ask your income, grocery shopping, ask income
and it could go on and on, and some would call this fair, like those that think that the rich paying more and more, while others pay nothing in taxes is called paying fair share.
That is why Dr. Carson is so good, when he spoke of the Bible and Tithing, and that was on all at the same percentage rate. Simple, fair and everyone can understand the situation.
[…] Should rich people pay higher speeding fines? […]
[…] likelihood of getting caught and the severity of the punishment (which was the theory behind the famous $1 million fine for speeding in […]
At first I thought this was absurd, but since I support the flat tax, I guess this — or at least the general concept — isn’t so outlandish.
Is the fine based on pre-tax or after-tax income? If it’s the former, that Swede is in trouble…
Hi, Dan!
No, I don’t think it’s too much.
First of all, indexing towards income makes sense – it’s like a flat tax. It is fair. If a lump sum is established, say 200 euros, it does not represent a real punishment for a rich guy braking the rules. When deciding whether to go 200 mph endangering dozens of people on the road, his cost will be represented by the chance of being caught and a very modest fine compared to his wealth.
In other words, if he thinks he has an important job he’ll be more likely to brake the speed limits. Rich people also generally have much faster cars. You don’t see regular people going 180.
Punishing the rich would mean paying a bigger fraction of their income for the same crime.
The notion that this might have something to do with revenue-hungry politicians is not very correct. Depending on fines to fill the budget is too dumb even for them. And high fees will lead to less speeding, hence less fees.
Best!
“Under Swiss law, the level of fine is determined by the wealth of the driver…”
So what is the formula? 1/3 of the annual taxes you paid in your home country?