Skip to main content

Who Pays Taxes

There is a growing focus on taxes. Most citizens agree that the federal government MUST collect taxes to pay the national bills. The recent conversations are generally about HOW the amount that a taxpayer pays is calculated. Some of our senior politicians believe our INCOME TAX is not fair nor reasonable. What they want to change is the method of calculation and at the same time they want to raise the amount. Their theory is that the (undefined) rich do not pay enough. On a percentage of earnings basis the middle class and the poor pay a much larger proportion of their earnings. I am curious about this. Is it true?

According to the Manhatten Institute: 
  • The richest 1 % of Americans earn 22% of ALL personal income and  pay 40% of ALL personal income taxes.  
  • The richest 5% earns 37% of ALL personal income and pay 61% of ALL personal income taxes.  
  • The richest 10% earns 48% of ALL personal income and pay 71% of ALL personal income taxes.
  • And 50% of total middle class and poor earn 12% of ALL personal income and pay 3% of ALL personal income taxes. 
According to the Brooking Institution:
  • The wealthy pay 67% of ALL federal taxes. 
  • The upper middle class pays 19%. 
  • The lower middle class pays 11%. 
  • The working poor pay 3%. 
  • The non-working poor pay nothing.
President Obama and the Democratic Party claim the American income tax is not FAIR. After reviewing the figures above a person has to wonder what they actually think is fair. Actually President Obama and his political allies KNOW EXACTLY what the actual figures are. The people that listen and believe  their demagoguery are ignorant of the facts.



Popular posts from this blog

Intellectual / Incompetent / Liberal

We all know that there are serious problems with ou American political system. The federal government and national media have been telling us that we continue to lead the world in just about everything. Unfortunately, we do not. Measuring our status against other nations is difficult as it entails comparison of different attributes and characteristics. Comparisons are, at best, crude.  Surely, if we look, it's clear that America is no longer dominant among the world's communities. 

For decades following the 1929 economic depression, America has enriched foreign industries at the expense of our own. We have subsidized foreign military powers while allowing the depletion of our own. We've defended other nations borders while, at the same time, not defended our own. We've spent trillions of dollars to subsidize unworthy governments, and let our own infrastructure to fall into disrepair. 

The use of our economic power as a diplomatic tool may have been the correct thing to d…

Cruel and Thoughtless . . .

A disheartening situation has hit our family. A cousin, one that we don't know very well, has reached 93 years of age. Most of the Chapman family made it to the mid 80's, but Mary Lou Chapman has managed a few years more. And, she's not gone yet. Mary was unmarried her entire life. She grew up in a good home, was well educated, has always hd a good job, and has enjoyed pretty good health - until just a few years ago. While she is still very much alive, I sometimes speak in the past tense as if she had already died. Mary is either confused or in her own little world now. She began losing some of her sparkle a few years ago. At first it was mild memory loss, and then mild hearing loss, and then drifting in her speech as she lost track of what she wanted to say. Her Doctor said it was a mild dementia coming on with old age, and nothing to worry about yet. A few month's passed by before she began to have problems driving herself to the market and appointments and so forth,…

What Comes Next- And When

The speed of progress is astounding.  Watching television a few days ago I listened to Mark Cuban talk about subjects that I know little about. It was fascinating. He started with cars. Automatic cars. Driverless cars. Cars that think for themselves. All of which ended with a conversation about "artificial intelligence". Frankly, some of the discussion went right over my head. 
He began talking about the growth of computer knowledge and abilities that will result in the power to exponentially grow. Ultimately the amount of knowledge will exceed that of human beings. At that point "artificial intelligence" will control human beings. 

Mr. Cuban stopped there and asked "when this happens in the future, and it will, where will human beings fit in the composition of the universe".  
Several brilliant minds have been working on the answer but no consensus exists - except one. The transition from the dominance of human beings on earth will end will be be replaced b…