Taxes

[AequitasVeritas]

I was in class tonight and my professor said the top 10% of wage earners pay only 2% of the total taxes paid in the U.S. Then I heard Sean Hannity say the top 10% pay 50% of the total.
So who is right and where can I find some factual information about this?

 

[Annie]

I was in class tonight and my professor said the top 10% of wage earners pay only 2% of the total taxes paid in the U.S. Then I heard Sean Hannity say the top 10% pay 50% of the total.
So who is right and where can I find some factual information about this?

I didn't read this all, but it looks like you could find the info here:

http://www.cbo.gov/showdoc.cfm?index=527&sequence=0&from=1

 

[Moi]

This data was pubished in April 2004:

• In 2001, the latest year of available data, the top 5 percent of taxpayers paid more than one-half (53.3 percent) of all individual income taxes, but reported roughly one-third (32.0 percent) of income.
• The top 1 percent of taxpayers paid 33.9 percent of all individual income taxes in 2001. This group of taxpayers has paid more than 30 percent of individual income taxes since 1995. Moreover, since 1990 this group’s tax share has grown faster than their income share.
• Taxpayers who rank in the top 50 percent of taxpayers by income pay virtually all individual income taxes. In all years since 1990, taxpayers in this group have paid over 90 percent of all individual income taxes. In 2000 and 2001, this group paid over 96 percent of the total.
• The President’s tax cuts have shifted a larger share of the individual income taxes paid to higher income taxpayers. In 2004, when most of the tax cut provisions are fully in effect (e.g., lower tax rates, the $1,000 child credit, marriage penalty relief), the projected tax share for lower-income taxpayers will fall, while the tax share for higher-income taxpayers will rise.
• The share of taxes paid by the bottom 50 percent of taxpayers will fall from 4.1 percent to 3.6 percent.
• The share of taxes paid by the top 1 percent of taxpayers will rise from 30.5 percent to 32.3 percent.
• The average tax rate for the bottom 50 percent of taxpayers falls by 16 percent as compared to a 12 percent decline for taxpayers in the top 1 percent.
http://www.ustreas.gov/press/releases/js1287.htm

 

[AequitasVeritas]

Thanks for the info!

 

[MtnBiker]

I was in class tonight and my professor said the top 10% of wage earners pay only 2% of the total taxes paid in the U.S

What was your professor teaching and why is his so ill informed?

 

[AequitasVeritas]

College Professor of U.S. History following WWII

 

[AequitasVeritas]

As for him being ill informed... well I don't have an answer for that. I just wanted to be able to show him (and the rest of the class) he wasn't accurate. I do not appreciate people spewing info that has no factual backing.

 

[Fmr jarhead]

What University is this?

 

[Mr. P]

The guy's a liberal idiot...

* In 1997, the top 1% of income earners in this country paid 29% of the total federal income taxes.
The top 10% of income earners paid 60% of the total federal income taxes.
The top 20% of income earners paid 74% of the total federal income taxes.
The bottom 50% of income earners paid 5% of the total federal income taxes. (6)

http://justfacts.com/fiscal_1.html

 

[dmp]

This is how liberals spin tax breaks:


If I make 1,000,000 a year, and the tax rate is 33%, my taxes are 333,333.

If you make 10,000 a year, and the tax rate is 33%, your taxes are 3,333.

When the president says "Okay! All income taxes are now 30%" I save 33,333 dollars a year in taxes. You save 333 dollars. Democrats now start hollering that "Look! Your tax breaks are only saving the RICH PEOPLE money!! They are TAX BREAKS FOR THE ELITE RICH!!"

:-/

Dumbasses. I'd be willing to bet a guy making $10K a year would MUCH more appreciate the $333 he's saved, over somebody who even ten TIMES that amount doesn't mean much to their quality of life.

 

[007]

Now you see why a "FLAT TAX" of oh, say 17%, would be the best thing America could do. Everybody pays the same percentage. No loopholes, just pay it. And people that made say less than $24,000 a year didn't have to pay at all. This country like others that have adopted a flat tax would have more money than it knew what to do with. Well... I take that back. I've never seen a politician that couldn't spend money faster than the government could rake it in.

No comment is needed for the liberal, lying, jackass, professor.

 

[Mr. P]

Now you see why a "FLAT TAX" of oh, say 17%, would be the best thing America could do. Everybody pays the same percentage. No loopholes, just pay it. And people that made say less than $24,000 a year didn't have to pay at all. This country like others that have adopted a flat tax would have more money than it knew what to do with. Well... I take that back. I've never seen a politician that couldn't spend money faster than the government could rake it in.

No comment is needed for the liberal, lying, jackass, professor.

Retail sales tax...Fair for all...Flat is not..

 

[freeandfun1]

Retail sales tax...Fair for all...Flat is not..

exactly. you only pay tax on what you buy. and the rich buy more, so they will pay more. can't get much more fair than that.

 

[Mr. P]

Agreed.

 

[fuzzykitten99]

exactly. you only pay tax on what you buy. and the rich buy more, so they will pay more. can't get much more fair than that.

but then the liberals would complain that too many government workers (ie IRS) would be out of work, and such...somehow they think that when you are in the business of taking other people's money, you are not qualified for any other type of job. how is it the government's fault they didn't learn any other skills aside from taking people's money.

I love that saying "Work harder...people on welfare and food stamps depend on you!"

 

[pegwinn]

Flat Tax is fair. No deductions, no minimum income either. The only way for it to have integrity is if every dime by every person, place, or thing is taxed with equality. Just my two cents. I don't think it will happen, because every special interest group in the world will want to be a deduction or "tax break".

We need a National Sales Tax as well. The only difference is that I would reserve the total revenue from an NST to 1.) Pay down the National Debt & 2) Fund the social security pension. Down the road, we might use the NST for a project fund such as education or something. The only thing I am afraid of is that we will make many things tax free. That destroys the simplicity of the system and in that road is madness. Of course after I am unelected as dictator for life, my other fear is the NST would end up as just another revenue sourse for the day-to-day government operations.

 

[Mr. P]

pegwinn,
Please explain...Why do you think flat is fair?

 

[pegwinn]

Mr. P. Hi there

If you make a buck

If I make a buck

Today

We are likely to pay differing amounts on that one dollar based on how well we keep records, and how well we understand a byzantine tax code, and who we can get to help us.

Additionally, if my bucks add up to more than your bux I will pay a higer percentage and total than you. So in effect I am paying a higher rate as a penalty for making more money.

Additionally, if you are poor you will or can receive funding and assistance that you don't pay anything for. Free ride syndrome sets in and you begin to believe that you are entitled to something.

Now, the flat tax in GwinnLand is simple.

If you make a buck you pay 15%

If I make a buck I pay 15%

If you make 1,000,000 you pay 15%

If I make 1500, I pay (you guessed it 15%)

No questions asked, no refunds, no deductions, no cpa, no complicated tax codes, no incorporating yourself to escape, no nothing. I understand the objections and the possible weasel methods people are promoting. Truthfully the hardest thing to come by in America would be the courage of all the elected officials to simply stick with it and not allow the special interests to complicate matters.

C'ya

 

[Comrade]

Flat Tax is fair. No deductions, no minimum income either. The only way for it to have integrity is if every dime by every person, place, or thing is taxed with equality. Just my two cents. I don't think it will happen, because every special interest group in the world will want to be a deduction or "tax break".

A solely flat tax would be a regressive tax, the exact opposit of what most of the world considers fair.

We need a National Sales Tax as well.

Unfair. Income previously taxed and then saved for older earners will now be taxed again as they consume in retirement.

The only difference is that I would reserve the total revenue from an NST to 1.) Pay down the National Debt & 2) Fund the social security pension. Down the road, we might use the NST for a project fund such as education or something.

Definately keep it in General revenue and not for specific programs, if it happened.

The only thing I am afraid of is that we will make many things tax free. That destroys the simplicity of the system and in that road is madness. Of course after I am unelected as dictator for life, my other fear is the NST would end up as just another revenue sourse for the day-to-day government operations.

The one very good thing about a national sales tax, among many bad which I think will keep the USA from ever initiating it (ie. regressive taxation on the poor), is that illegal sources of income will contribute to the income base of the government. No more tax breaks for criminals.

Something to think about!

 

[pegwinn]

Yo Comrade!

A solely flat tax would be a regressive tax, the exact opposit of what most of the world considers fair. Since I am not an economist or tax expert, you are gonna hafta break it down barney style for me. Seems that 10 percent of (insert amount) is fair.


Unfair. Income previously taxed and then saved for older earners will now be taxed again as they consume in retirement. There is a sales tax in every state of the union. So I am maybe missing your point here?

Definately keep it in General revenue and not for specific programs, if it happened. Why? If it is in the general fund, there would be a tendancy to inflate the budget to cover the additional funds. I'd think that targeted spending would be the smart way to go.

The one very good thing about a national sales tax, among many bad which I think will keep the USA from ever initiating it (ie. regressive taxation on the poor), is that illegal sources of income will contribute to the income base of the government. No more tax breaks for criminals.

Something to think about! Good Point, Hail Yeah