I have been searching, and cannot determine if the $105 billion “refundable tax credit” (read redistribution of wealth) is deducted from the gross income tax revenue as reported, or is the income tax revenue “as reported” the net after all tax credits, including refunables have been deducted?
In other words, what percentage of the Nation’s income taxes is counted as revenue versus the “refundable” that may be counted as revenue that in fact that never reaches the public coffers?
I’m really looking for the answer and can’t seem to muddle through the hocus pocus.
The closest I’ve been able to gather is that in 2010, the income tax revenue was about $899 billion. Is that a net or gross figure?
If that is a net number, the actual number for income tax revenue should be $1.004 trillion. And the amount of taxes collected is only 89.54% of what should be “fairly” collected.
If that is a gross number (899), the amount of revenue redistributed is about 11.68% of the reported revenue, which means the actual revenue is only $794B. I understand that I may be realllly dense here, but I haven’t found the answer to my basic question. How does the gov. report “revenue”? Do they report refundable refunds as income or expenditure?
Where can it be found as a ledger item?
I simply quoted the Tax blog.
Good Questions, I will research the questions tomorrow because I am always interested in the Source/Backups.
Thanks for the inquiry.