Romneys tax rate; the 3.373% difference.
Many wage earners incomes are above the qualifying maximum for Medicaid, cannot afford and have no medical insurance.
Due to insufficient incomes, the working poor are not subject to income taxes but all employees are subject to the 7.65% FICA payroll taxes.
Additionally employers pay matching FICA taxes. If U.S. payrolls are 1/2 of transactions subject to a sales tax, employers 7.65% FICA payroll taxes behave as a 3.977% federal sales tax.
[0.0765 / (2 0,0765)] = 0.03977
In that case the working poor who pay no income taxes, directly and indirectly pay (0.0765 + 0.03977) =11.627% for FICA
(0.15 0.11627) = 3.373% tax difference between Romney and the working poor.
Respectfully Supposn
Many wage earners incomes are above the qualifying maximum for Medicaid, cannot afford and have no medical insurance.
Due to insufficient incomes, the working poor are not subject to income taxes but all employees are subject to the 7.65% FICA payroll taxes.
Additionally employers pay matching FICA taxes. If U.S. payrolls are 1/2 of transactions subject to a sales tax, employers 7.65% FICA payroll taxes behave as a 3.977% federal sales tax.
[0.0765 / (2 0,0765)] = 0.03977
In that case the working poor who pay no income taxes, directly and indirectly pay (0.0765 + 0.03977) =11.627% for FICA
(0.15 0.11627) = 3.373% tax difference between Romney and the working poor.
Respectfully Supposn