Raising the tax threshold can alleviate the widening gap between the rich and the poor, balance the tax burden, let the rich pay more taxes, let the poor pay less taxes, and let the poor have more money to spend, because now, after all, the poor are in the majority. If his money is pocketed, more people will spend it, which will inspire many people. Just like home appliances going to the countryside now, more enterprises will survive on the premise that farmers' money bags are bulging.
Of course, there are some shortcomings. With the relative reduction of national tax revenue and disposable funds, the macro-control role played by the government will be weakened, and the country will face many unstable factors, including unstable prices, reduced government spending on construction and reduced cooperative construction, which will not only solve the employment problem, but also affect people's income. This will lead to a vicious circle, which is not good.
On the whole, I think the former plays a major role, that is, the former is feasible and the latter has certain influence, but there are still many national taxes and many sources of income, including foreign investment and so on. The reduction of individual tax revenue will not cause a very obvious reduction of national fiscal revenue, but for individuals, the increase of tax threshold has a great impact on them.