Why "Soaking the Rich" in taxes does not work - explained with BEER!

[Annie]

How about another analogy?

Ten men appear in court for murder charges.

The first four men (the poorest) get the death penalty.
The fifth gets 350 yrs.
The sixth gets 250 yrs.
The seventh gets 100 yrs.
The eighth gets life without parole.
The ninth gets 25 - life.
The tenth man (the richest) makes a donation to the DA's campaign, his indictment is squashed and he has lunch with judge while playing a round of golf.

Cause you get the government that you pay for.

So by inverting, you are acknowledging the truth of original?

 

[snjmom]

What's the truth of the original? That government is an intoxicating consumption product?

The rich reap a much greater reward and have a much greater influence on the law.

They should pay for what they receive, no?

 

[Annie]

What's the truth of the original? That government is an intoxicating consumption product?

The rich reap a much greater reward and have a much greater influence on the law.

They should pay for what they receive, no?

What's the truth of the inversion then?

 

[snjmom]

That OJ walks.

That there are no prison sentences from the greatest fleece job ever.

That the rich certainly don't need the unwashed masses to advocate for them.

 

[Mr. Shaman]

Why "Soaking the Rich" in taxes does not work - explained with BEER!

Whatta "creative" distraction.

Wouldn't it make much-more sense to present a real-case scenario, and let everyone decide for themselves....like, when Bill Clinton's tax-increase was "sold" (by Republicans) as:

The Largest In (I'm assuming, American) History!!

August 5, 1996

"Despite evidence showing total tax receipts are only slightly higher now than average tax receipts over the past 30 years, the tax increase signed into law by President Clinton in 1993 is sometimes described as "the largest tax increase in history."

After controlling for cyclical effects, CBO data show that total tax revenues increased by 0.8 percent of GDP between 1992 and 1995. This is far from the first time tax receipts have increased by 0.8 percent of GDP in a three-year period. In fact, in the past quarter century alone, tax receipts after controlling for cyclical effects have increased by increments larger than 0.8 percent of GDP over a three year period at least six times. The table below shows some of the increases in tax revenues over the past 25 years.

The vast majority of taxpayers saw no change in their income taxes as a result of the 1993 law. CBO estimates that most households paid only $38 more per year, as a result of the 4.3 cent per gallon increase in the gas tax."

Believe it, or not......Porky Limbaugh & FAUX Noise lie to you (Teabaggers).

Your Pride (in remaining as ignorant, as possible) makes their job twice-as-easy.​

 

[Mr. Shaman]

Soaking anyone in taxes doesn't work, economics 101.


All taxes are a burden to the economy......

.....Except when they're not.​

"Not only was the entire national deficit eliminated after raising taxes on the wealthy in 1993, but the economy grew so fast for the remainder of the decade that many conservative economists thought that the Fed should raise the prime interest rate in order to slow it down."

1993 Deficit Reduction​

 

[editec]

If you think the only problem this nation is facing is that the rich are taxed too heavily then you are clearly not paying attention.

 

[Mr. Shaman]

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes, it would go something like this...

The first four men (the poorest) would pay nothing
The fifth would pay $1
The sixth would pay $3
The seventh would pay $7
The eighth would pay $12
The ninth would pay $18
The tenth man (the richest) would pay $59

No one pays 59% tax on income.

We're getting damn close...

Total tax percentage paid by the above average US citizen, 2009 est. - 57.7%


Federal personal income tax 17%
(2011 est. - 18.2%) Top 25% rate. It ranges from a credit up to well over 40%. Source

State & local income taxes 10.1%
(2009 - 10.6%) State taxes range from under 6% to over 12%. Local taxes run from zero to 2.75%. Source, source, source, 2009 source

Sales tax 9.7%
(2009 - 10.3%) Figure is the average rate. State sales taxes range up to 8% and local taxes run from zero to over 5%. Source, source, source, 2008 source, 2009 source

Social security & Medicaid 7.65% Total rate is actually 15.3% since half is paid by the employer, but we're ignoring that to be kind. Source, box 1

Federal corporate income tax share 3% Based on corporate taxes being approximately 1/6 of personal taxes, and that they are paid by individuals in the final analysis. Source

Property tax 2.5%
(2007 - 2.7%) Yearly average actual costs range from under $200 in Alaska to almost $1900 in New Jersey. Source

Fuel/gasoline tax .5%
(2009 est. - .6%) Approximately 23% of the 2005 gasoline price is for federal & state taxes. The federal excise tax is 18.4 cents per gallon. Per the CPI, about 6% of the average budget is for transportation. Estimated. 2010 estimate, $.45 per gallon average. Source

Other 5%
(2009 est. - 7%) Includes estate tax, fees, licenses, inflation losses, inheritance, deficit allowance, gift, and others too numerous to mention. Estimated.


How much tax do we really pay?

About us​

"We're just a small group of middle aged and older investors who got fed up with the lack of straight and relatively simple data on investing and economics, and put up a web site to address our various concerns. See the statement of purposes on the home page - it's literally just that simple.

The main person doing the charts and maintaining the site is 'bart', and many of the visitors to the site have seen it referenced from the articles he has written for other web sites and also from various posts on financial internet boards. Most of us grew up in the Midwest U.S.

Before this site was created, Bart was dispelling well known economic falsehoods to a close friend, Tim C. As more questions were asked and answered, it became obvious that he wasn't the only one in the world who had been drinking Kool-Aid. Another friend, Phil J., contributed by reading the articles and asking questions etc., which led Bart to realize that a website would help open more eyes to some of the truths we're not "supposed to" know or understand. You may even spot one of us wearing a NowAndFutures.com T-shirt.

Someday we'll probably promote the site more broadly but it's not yet as complete as we'd like."

Gee.....whatta great, unbiased lil' source-of-info.

Yeah, buddy! We've got some real economic-academics, here!!

 

[Ravi]

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes, it would go something like this...

The first four men (the poorest) would pay nothing
The fifth would pay $1
The sixth would pay $3
The seventh would pay $7
The eighth would pay $12
The ninth would pay $18
The tenth man (the richest) would pay $59

No one pays 59% tax on income.

Neither did anyone in the example. the guy paid 59% of the total bill.

Sometimes your stupidity leaves me breathless.

 

[Ravi]

How about another analogy?

Ten men appear in court for murder charges.

The first four men (the poorest) get the death penalty.
The fifth gets 350 yrs.
The sixth gets 250 yrs.
The seventh gets 100 yrs.
The eighth gets life without parole.
The ninth gets 25 - life.
The tenth man (the richest) makes a donation to the DA's campaign, his indictment is squashed and he has lunch with judge while playing a round of golf.

Cause you get the government that you pay for.

Now that's an analogy that works.

 

[Mr. Shaman]

YouTube - ‪TOM T HALL-I LIKE BEER.wmv‬‏

OLD-FART-music is more like it.

Move you and your rocking-chair over in the corner, outta-the-way.....

*

[ame=http://www.youtube.com/watch?v=Rq7z3j-8L04]YouTube - ‪ZZ TOP [ BEER DRINKERS & HELL RAISERS ] LIVE IN GERMANY.‬‏[/ame]

 

[DontBeStupid]

They both had 6.2% withheld on the first $106,800 they earned this year,and assuming that they had earned and continue to earn the maximum for their working career, they will get the exact same amount.

Yup. Of course, in my example I was comparing a guy who makes $338K a year with a guy who makes $33K a year, so you're claiming they both get the exact same SS payments is false, but hey, that's just stuff we learn when we read, so no big deal.

 

[Quantum Windbag]

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes, it would go something like this...



No one pays 59% tax on income.

Neither did anyone in the example. the guy paid 59% of the total bill.

Sometimes your stupidity leaves me breathless.

Then you should be able to tell me what I got wrong.

But first, provide proof that the rich guy only makes $100.

I won't hold my breathe.

 

[Truthmatters]

The right says raising taxes on the rich would cause the economy to stall.

Why then are they so willing to allow the US to default on its debts.

That would end the recovery for sure.

 

[Big Fitz]

The right says raising taxes on the rich would cause the economy to stall.

Why then are they so willing to allow the US to default on its debts.

That would end the recovery for sure.

Just because it happens every time it's done is no reason it should happen THIS time too!

What's the definition of insanity again?

 

[Wiseacre]

The right says raising taxes on the rich would cause the economy to stall.

Why then are they so willing to allow the US to default on its debts.

That would end the recovery for sure.

Just because it happens every time it's done is no reason it should happen THIS time too!

What's the definition of insanity again?

The definition of insamity is explaining to a democrat that raising taxes in a recession inhibits economic growth and then expecting them to stop bitching about raising taxes.

 

[American Legacy]

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes, it would go something like this...

The first four men (the poorest) would pay nothing
The fifth would pay $1
The sixth would pay $3
The seventh would pay $7
The eighth would pay $12
The ninth would pay $18
The tenth man (the richest) would pay $59

No one pays 59% tax on income.

Including the tenth man in this example. Where's it say the tenth man's income is $100?

 

[American Legacy]

The right says raising taxes on the rich would cause the economy to stall.

Why then are they so willing to allow the US to default on its debts.

That would end the recovery for sure.

What recovery? The only things recovering under this administration are big unions and big government.

 

[RDD_1210]

The right says raising taxes on the rich would cause the economy to stall.

Why then are they so willing to allow the US to default on its debts.

That would end the recovery for sure.

Just because it happens every time it's done is no reason it should happen THIS time too!

What's the definition of insanity again?

The definition of insanity. Complaining about people who don't have insurance while you yourself don't have any insurance.

 

[Toddsterpatriot]

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes, it would go something like this...

The first four men (the poorest) would pay nothing
The fifth would pay $1
The sixth would pay $3
The seventh would pay $7
The eighth would pay $12
The ninth would pay $18
The tenth man (the richest) would pay $59

No one pays 59% tax on income.

You're right, but that's not what this story shows.
The top 10% of earners paid 70% of total Federal Income Tax paid in 2008.


National Taxpayers Union - Who Pays Income Taxes?