tooAlive
Silver Member
Whenever there's talk about tax rates and what the "fair share" should be for the wealthy to pay, there's always a few liberals that bring out the argument of how top marginal tax rates were as high as 94% back in 1944. This is true. They were also 91% back in 1946, and and 77% in 1964.
Now, assuming people actually payed those taxes back in the day. Here's my question;
Lets say we raised the top marginal tax rate for all income above $250k to 94%, just like they were back in the day.
If we have someone already earning $250k, what is their incentive to increase their earnings $100k for a total of $350k, if they'd only get see $6,000 of it?
Essentially only getting to keep 6 cents of every dollar earned over $250k.
Again, lets say the top marginal tax rate only affected income over $500k. What incentive would a person have to earn $600k, when in reality, they'd only see $6,000 of their newly earned income?
Now, assuming people actually payed those taxes back in the day. Here's my question;
Lets say we raised the top marginal tax rate for all income above $250k to 94%, just like they were back in the day.
If we have someone already earning $250k, what is their incentive to increase their earnings $100k for a total of $350k, if they'd only get see $6,000 of it?
Essentially only getting to keep 6 cents of every dollar earned over $250k.
Again, lets say the top marginal tax rate only affected income over $500k. What incentive would a person have to earn $600k, when in reality, they'd only see $6,000 of their newly earned income?
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