General Discussion

Top Federal Individual Income Tax Rates and Receipts, 1960–2008

Isn't it interesting that even when the "Rich" were taxed more heavily it made no difference on tax receipts.  If you give tax breaks then that causes economic growth and tax receipts equal out. 

The is true for Corporate Tax Rates and receipts

And of course the last chart:

Obama seems to believe that the "Rich are not paying their fair share"  yet the top 10% of our nation pays 70% of the tax burden. (That was 2005) I heard that it is 80% now in 2008. 

How ridiculous is it for someone to actually say they aren't paying their fair share.  How is footing 70-80% of the bill for a lot of programs they will never use not paying their fair share? 

It gets even worse if you look at the top 25% of Americans.    So if your family makes 60K+ you are in about the top 25% of American households.  That means you share a burden with your fellow top 25% that adds up to 86%+ of the total tax receipts.   Doesn't anyone else feel this is a little ridiculous?  The very fact that someone can say with a straight face that the top earners are not paying their fair share in taxes is a bold face lie. 

I have been saying this for months. Any tax increase hits middle class the most. The rich will move their money, weather it's into different investments or offshore or whatever they can think of.

When Obama says taxing capital gains will only hit the rich, he either is nieve or just doesn't care. Retirement accounts are stocks. Selling a house is a capital gain. Many of us middle class invest in the market.

I could go on and on but it is getting late.

Edit: there are taxes that hit the lower income....lotteries and cigs are 2 I can think of off hand. Not sure if these are figured in.

[sarcasm tag]Doesn't matter. Obama is black, black people are cool, I will vote for Obama.[/sarcasm tag]

its class warfare. and democrats will not stop this war until everyone earns the same.

socialism is the end goal with democrat 'kings' and 'queens' in power dictating from capitol hill.

Over lunch two friends were discussing the government's recent round of tax cuts: - "I'm opposed to those tax cuts," the retired college instructor declared, "because they benefit the rich.  The rich get much more money back than ordinary taxpayers like you and me and that's not fair."  "But the rich pay more in the first place," the businessman argued, "so it stands to reason that they'd get more money back."  He could tell that his friend was unimpressed by this meager argument.  Even college instructors are a prisoner of the myth that the "rich" somehow get a free ride in America.

Nothing could be further from the truth.  Let's put tax cuts in terms everyone can understand.

Suppose that every day ten men go to a restaurant for dinner.  The bill for all ten comes to $100.  If it was paid the way we pay our taxes, the first four men would pay nothing; the fifth would pay $1; the sixth would pay $3; the seventh $7; the eighth $12; the ninth $18.  The tenth man (the richest) would pay $59.  The ten men ate dinner in the restaurant every day and seemed quite happy with the arrangement until the owner threw them a curve.

0 + 0 + 0 + 0 + 1 + 3 + 7 + 12 + 18 + 59 = 100 cost of dinner

"Since you're all such good customers, he said, I'm going to reduce the cost of your daily meal by $20." Now dinner for the 10 only costs $80.

The first four are unaffected; they still eat for free.  Can you figure out how to divvy up the $20 savings among the remaining six so that everyone gets his fair share?  The men realize that $20 divided by 6 is $3.33, but if they subtract that from everybody's share, then the fifth man and the sixth man would end up being paid to eat their meal.

The restaurant owner proceeded to work out the amounts each should pay under the same assumptions: Now the fifth man also paid nothing, the sixth pitched in $2, the seventh paid $5, the eighth paid $9, and the ninth paid $12 leaving the tenth man with a bill of $52 instead of $59.  Outside the restaurant, the men began to compare their savings.  "I only got a dollar out the $20," complained the sixth man, pointing to the tenth, "and he got 7!"

0 + 0 + 0 + 0 + 0 + 2 + 5 + 9 + 12 + 52 = 80 reduced cost of dinner

"Yeah, that's right," exclaimed the fifth man.  "I only saved a dollar, too.  It's unfair that he got seven times more than me!"

0 + 0 + 0 + 0 + (-1) + (-1) + (-2) + (-3) + (-6) + (-7)= (-20) savings on dinner

"That's true," shouted the seventh man.  "Why should he get $7 back when I got only $2?  The wealthy get all the breaks!"

"Wait a minute," yelled the first four men in unison.  "We didn't get anything at all.  The system exploits the poor."

The nine men surrounded the tenth and beat him up.  The next night he didn't show up for dinner, so the nine sat down and ate without him.  But when it came time to pay the bill, they discovered something important.  They were $52 short!

And that, boys, girls, and college instructors, is how America's tax system works.  The people who pay the highest taxes get the most benefit from a tax reduction.  Tax them too much, attack them for being wealthy, and they just may not show up at the table any more.

your story would be better if the text was in a readable color...

Originally posted by n25philly

your story would be better if the text was in a readable color...

worth repeating

Over lunch two friends were discussing the government's recent round of tax cuts: - "I'm opposed to those tax cuts," the retired college instructor declared, "because they benefit the rich.  The rich get much more money back than ordinary taxpayers like you and me and that's not fair."  "But the rich pay more in the first place," the businessman argued, "so it stands to reason that they'd get more money back."  He could tell that his friend was unimpressed by this meager argument.  Even college instructors are a prisoner of the myth that the "rich" somehow get a free ride in America.

Nothing could be further from the truth.  Let's put tax cuts in terms everyone can understand.

Suppose that every day ten men go to a restaurant for dinner.  The bill for all ten comes to $100.  If it was paid the way we pay our taxes, the first four men would pay nothing; the fifth would pay $1; the sixth would pay $3; the seventh $7; the eighth $12; the ninth $18.  The tenth man (the richest) would pay $59.  The ten men ate dinner in the restaurant every day and seemed quite happy with the arrangement until the owner threw them a curve.

0 + 0 + 0 + 0 + 1 + 3 + 7 + 12 + 18 + 59 = 100 cost of dinner

"Since you're all such good customers, he said, I'm going to reduce the cost of your daily meal by $20." Now dinner for the 10 only costs $80.

The first four are unaffected; they still eat for free.  Can you figure out how to divvy up the $20 savings among the remaining six so that everyone gets his fair share?  The men realize that $20 divided by 6 is $3.33, but if they subtract that from everybody's share, then the fifth man and the sixth man would end up being paid to eat their meal.

The restaurant owner proceeded to work out the amounts each should pay under the same assumptions: Now the fifth man also paid nothing, the sixth pitched in $2, the seventh paid $5, the eighth paid $9, and the ninth paid $12 leaving the tenth man with a bill of $52 instead of $59.  Outside the restaurant, the men began to compare their savings.  "I only got a dollar out the $20," complained the sixth man, pointing to the tenth, "and he got 7!"

0 + 0 + 0 + 0 + 0 + 2 + 5 + 9 + 12 + 52 = 80 reduced cost of dinner

"Yeah, that's right," exclaimed the fifth man.  "I only saved a dollar, too.  It's unfair that he got seven times more than me!"

0 + 0 + 0 + 0 + (-1) + (-1) + (-2) + (-3) + (-6) + (-7)= (-20) savings on dinner

"That's true," shouted the seventh man.  "Why should he get $7 back when I got only $2?  The wealthy get all the breaks!"

"Wait a minute," yelled the first four men in unison.  "We didn't get anything at all.  The system exploits the poor."

The nine men surrounded the tenth and beat him up.  The next night he didn't show up for dinner, so the nine sat down and ate without him.  But when it came time to pay the bill, they discovered something important.  They were $52 short!

And that, boys, girls, and college instructors, is how America's tax system works.  The people who pay the highest taxes get the most benefit from a tax reduction.  Tax them too much, attack them for being wealthy, and they just may not show up at the table any more.