The Rich Get Richer (And Pay Less Taxes)

The rich really are getting richer and “the richest 1% of Americans in 2006 garnered the highest share of the nation’s adjusted gross income for two decades, and possibly the highest since 1929, according to Internal Revenue Service data.” Meanwhile, as Republicans are concerned about maintaining the Bush tax cuts for the ultra-wealthy, “the average tax rate of the wealthiest 1% fell to its lowest level in at least 18 years.”

This report isn’t from some left-wing site. It comes from The Wall Street Journal, based upon Internal Revenue Service data available through 2006. As the Bush tax cuts were rigged to give increasing value to the ultra-wealthy over time, I wonder how much more distorted these numbers are at present, and how they would look should John McCain be elected and continue George Bush’s policies.

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7 Comments

  1. 1
    wannabe richguy says:

    If you make a million and pay over half (37% federal and 14% FICA) is that not paying your fair share? Why don’t you get over your envy and start working harder, smarter and better. How many poor people start companies and employ other envious idiots.

  2. 2
    Ron Chusid says:

    What makes you think this has anything to do with envy? I bet my income is at least twice yours without needing  to work any harder, smarter or better. I say that as if you really made much money you would understand how taxes work and realize what nonsense these claims you are making are.

    I’m one of the people that Republicans try to scare with these false claims that our taxes will be over 50% under Obama. These scare tactics fall in the same league as the claims from Republicans that Democrats are going to take away everyone’s guns and bibles.

  3. 3
    WORK HARDER PAY MORE says:

    whats a load of bull. is at 24 yrs old making 40k a year, and paying in 5k for taxes. and receiving $800 back in a refund.   then having a another 24 yr old woman making 16k a yr with 2 children getting state aid and paying in under 1000. and receiving $6500 refund. why do the middle class have to pay for everyone elses choices and mistakes? the more you make the more they take for what to support the lower class! so if you work hard for your money why pay for everyone else!!!

  4. 4
    WORK HARDER PAY MORE says:

    more importantly ,a little off the subject i say if i have to pass a drug test to get a job to pay my taxes to support the rest of the world. then you should have to pass a drug test in order to collect a wel-fare check

  5. 5
    Ron Chusid says:

    Work Harder Pay More,

    You may or may not be right with regards to your views on a woman receiving state aide and regarding drug testing to receive welfare payments. Regardless of the validity of your points, they are irrelevant to the facts in this article, and they do not support your initial contention that this is “a load of shit.”

    If you believe someone making 40K is getting screwed by the welfare payments, you might also consider whether the same person is also getting screwed by Republicans who give the bulk of the tax breaks to multimillionaires as opposed to the middle class.

  6. 6
    Eric - know the facts says:

    The problem is that the capital gains are not taxed at a fair rate. These people do not pay FICA taxes on thier capital gains. A person working at a job earning $500,000 a year will pay more dollars in taxes than the rich investor earning 2 million. Half the tax rate + no FICA. You figure it out!

  7. 7
    Lyle says:

    Interesting discussion in that the notion that the rich pay all the taxes has been pushed frequently in various conservative venues for years now.  The concept is based on IRA numbers that simply show a distribution of who pays taxes in each bracket but does no analysis of what the numbers mean.

    Let us begin with the notion that those bottom 50% are taking advantage.  Really?  You think that everyone down there in that 50% bracket is skimming?  Do you even know who is in that bracket?

    For some fun read this article:

    http://www.moderateindependent.com/v1i15taxnumbers.htm

    It’s a little dated and directed at Rush, another goober who regurgitates these numbers, and shows you what they really mean.  Who is in each of those brackets and what they really mean. 

    BTW – that bottom 50% includes the kid who delivers your paper, college students, grandma’s retirement funds, yep, all those people down there ripping the rich off.  Tisk Tisk.

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