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High-Earning Households Pay Growing Share of Taxes. Fifty One Percent Pay No Income Tax!
Wall Street Journal ^ | 05/03/2011 | JOHN D. MCKINNON

Posted on 05/03/2011 6:50:07 AM PDT by SeekAndFind

As President Barack Obama pushes to raise income taxes on high earners, opponents are seizing on data that indicates these U.S. households already pay a large and growing share of taxes, even compared with high-tax European countries. And a new congressional study concludes that the percentage of U.S. households owing no federal income tax climbed to 51% for 2009.

Republicans are expected to highlight these figures at a congressional hearing Tuesday. They oppose Mr. Obama's proposal to increase taxes for high earners, defined as families making more than $250,000 per year, as a way to help close large federal budget deficits

"Most taxpayers are skeptical that the answer to our fiscal problems is for them to sacrifice more, when more than half of all households are not paying any income taxes and an increasingly smaller group of Americans is shouldering the burdens for an increasing larger group of Americans," said Sen. Orrin Hatch of Utah, the top Republican on the Senate Finance Committee.

For their part, Democrats note that the incomes of higher earners have been growing far more rapidly, so it's only natural that they would pay a higher share of tax. As for those Americans who pay no federal income tax, most of them still pay Social Security and Medicare payroll taxes that can take a significant share of their income, Democrats said.

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; Constitution/Conservatism; Culture/Society; News/Current Events
KEYWORDS: incometax; taxes
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To: ladyvet

“We talked about it after we did taxes last month and decided that it’s not worth what the government is taking and why should he bust his azz for the leeches.”

####

A sentiment deeply shared by long-time “high earners” across the nation, including small businesses who are averse to expand and hire, when the Commies are going to grab most of it for the entrenched parasite class.

Atlas is Shrugging.


21 posted on 05/03/2011 7:39:04 AM PDT by EyeGuy (2012: When the Levee Breaks)
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To: skeeter
I don't think so. What the "statists" are learning is that when a disproportionate amount of tax revenue is generated by a small percentage of the population, the entire nation is at risk of a massive decline in revenues.

Jurisdictions like New York State and City learned this the hard way, as the shrinking number of taxpayers supporting the rest of the population began to wise up to the whole charade and flee the scene.

This is why tax hikes in the near future are likely to be highly regressive, despite all the clamoring from politicians on both sides of the aisle. When faced with a huge need for revenue, expanding the tax base is far more important than raising tax rates.

22 posted on 05/03/2011 7:39:28 AM PDT by Alberta's Child ("If you touch my junk, I'm gonna have you arrested.")
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To: SeekAndFind
Fifty One Percent Pay No Income Tax!

So, think about the prospects: we are now in the position where the 51% who pay no taxes, mostly Obama supporters, can now continue to vote "their people" into office, who can then, in turn, decide that the rest of us aren't paying enough taxes (that has already happened) and grant themselves a raise (that is happening before our eyes).

Of course, according to Pelosi, welfare is good for the economy. So, Nancy, is there a point at which more welfare is not good for the economy?

Now I was educated in the public schools, and even I can see a problem coming.

23 posted on 05/03/2011 7:50:44 AM PDT by jda ("Righteousness exalts a nation . . .")
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To: jda

Everybody needs to have skin in the game, everybody. No income tax, no vote.


24 posted on 05/03/2011 7:55:37 AM PDT by vortec94
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To: LostInBayport

This April was very, very unpleasant for me. I’m going to finish paying off my debts and go Galt!

You too, huh?
As a small business owner, I am finding many ways to ‘create value’ in my own personal life. After all these years of devotion to my business it’s difficult (but not impossible) to ease up. I may even take a vacation this summer. I’ve never had one of those.
Wealth isn’t only measured by the size of a bank account.


25 posted on 05/03/2011 7:57:49 AM PDT by griswold3 (Character is destiny)
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To: SeekAndFind

bkmk


26 posted on 05/03/2011 8:02:25 AM PDT by Sergio (An object at rest cannot be stopped! - The Evil Midnight Bomber What Bombs at Midnight)
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To: Alberta's Child

” When faced with a huge need for revenue, expanding the tax base is far more important than raising tax rates. “

Especially when growth has been squeezed out of the equation.
Do you think the entrepreneurs have ‘caught the last train for the coast’?


27 posted on 05/03/2011 8:02:47 AM PDT by griswold3 (Character is destiny)
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To: Gilbo_3; stephenjohnbanker; ding_dong_daddy_from_dumas; DoughtyOne; calcowgirl; NFHale; Impy
RE :”sadly most dont have a clue how many taxes they pay everyday on everything...i know most dont really ‘pay’ income tax, but those costs are merely shaved off of what would be higher wages and such ifn we werent so overly taxed and regulated and ‘fee’d’ and liscensed prmitted and... truly death [of wealth] by a thousand cutsd

Few really want to pay taxes, otherwise they would be voluntary. Similarly most would rather have others pay higher taxes, than have themselves have to pay them. The SS/Medicare debate has been framed in similar terms: ‘I paid in for those benefits, they are mine so look someplace else’ .

The best way to expand government and socialism : hidden taxes.

The only way to cut it : government spending automatic tax increases triggered by increased federal spending where every voter must write out a check monthly (or pay by credit card)to make it as PAINFUL as possible. But no-one really does, it's all talk. Better to imagine that when we pay less taxes we really pay more, or in Democrats polar opposite view that 'spending pays for itself'(look how well that is working) , and that we must always run deficits in the present to save the economy. That pretty much rules out everything.

28 posted on 05/03/2011 8:06:44 AM PDT by sickoflibs ("It's not the taxes, the redistribution is the federal spending=tax delayed")
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To: griswold3

It sounds like we have been walking the same road. It is like you read my mind.

There is a lot to be said for living comfortably and finding joy in the supposedly little things in life. There is nothing to be said for working like mad only to fork a chunk of your earnings over to a government that not only doesn’t manage it wisely, but doles it out to a segment of society that doesn’t even acknowledge the sweat it took to create those earnings.

Take that vacation!


29 posted on 05/03/2011 8:33:19 AM PDT by LostInBayport (When there are more people riding in the cart than there are pulling it, the cart stops moving...)
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To: SeekAndFind

Rinos teamed up with their party across the aisle to make this happen. They gave more than half of Americans a pass on taxes so they would not hesitate to call for more free stuff (socialism). It’s wrong and proves the government’s scope of work is too large and has to be cut back to fit into the reality that most people are exempt from paying taxes now.


30 posted on 05/03/2011 12:57:28 PM PDT by SaraJohnson
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To: sickoflibs

One thing is for sure, the tax rates issues never goes away.


31 posted on 05/03/2011 1:44:24 PM PDT by Marine_Uncle (Honor must be earned....Duncan Hunter Sr. for POTUS.)
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