www.townhall.com/columnists/GuestColumns/printRahn20041027.shtml
Sen. John Kerry keeps telling us that "the rich" need to pay more in taxes. The senator and his wife are among the 400 richest Americans. He says that he has "a plan to tax the rich." Under the senators tax plan, what percentage of the Kerry's income do you think they would pay the IRS?. 50%, 40%, 30%, 15%? The correct answer is 15%.
According to an analyst by the Argus Group, a well respected law and economics firm, the Kerrys' average tax rate would only increase by 1.8 percentage points to 15.2% under the senators plan, while small business people would see their average rate rise by 4.0 percentage points, resulting in effective rates as high as 35 to 40 percent, including certain deduction phase-outs.
Last year, Mr Kerry and his wife paid only 13.4% of their declared $5.5 million income in federal taxes. President and Mre. Bush whose income was only 15% of Kerrys' paind a tax rate more than twice as high, 27.7 percent. Despite all of the senator's bombast about the rich paying more, under his plan he as Mrs Kerry would still pay lower average rate than most middle- income Americans.
As Mr. Kerry's won tax situation shows, he is not proposing increased taxes on those who are already rich-through inheritance, hard work, luck, or marrying a rich woman- but is proposing increasing taxes on those who are trying to become rich. If you are already wealthy, you can tax shelter much of your income, but if you have little in the way of assets, it is almost impossible to shelter you earnings from taxes................
Sen. John Kerry keeps telling us that "the rich" need to pay more in taxes. The senator and his wife are among the 400 richest Americans. He says that he has "a plan to tax the rich." Under the senators tax plan, what percentage of the Kerry's income do you think they would pay the IRS?. 50%, 40%, 30%, 15%? The correct answer is 15%.
According to an analyst by the Argus Group, a well respected law and economics firm, the Kerrys' average tax rate would only increase by 1.8 percentage points to 15.2% under the senators plan, while small business people would see their average rate rise by 4.0 percentage points, resulting in effective rates as high as 35 to 40 percent, including certain deduction phase-outs.
Last year, Mr Kerry and his wife paid only 13.4% of their declared $5.5 million income in federal taxes. President and Mre. Bush whose income was only 15% of Kerrys' paind a tax rate more than twice as high, 27.7 percent. Despite all of the senator's bombast about the rich paying more, under his plan he as Mrs Kerry would still pay lower average rate than most middle- income Americans.
As Mr. Kerry's won tax situation shows, he is not proposing increased taxes on those who are already rich-through inheritance, hard work, luck, or marrying a rich woman- but is proposing increasing taxes on those who are trying to become rich. If you are already wealthy, you can tax shelter much of your income, but if you have little in the way of assets, it is almost impossible to shelter you earnings from taxes................
