Skip to comments.Here Are The 47% Of The Population Who Don't Pay Federal Income Tax (See Chart)
Posted on 09/18/2012 6:42:04 AM PDT by SeekAndFind
Mitt Romney's latest campaign setback is a leaked video that shows him slagging the 47 percent of the population who, he says, will always vote for Barack Obama, because they want everything for free from the government.
The 47 percent number presumably refers to the percent of the population who don't pay Federal Income Taxes, which of course is just one kind of tax.
From the Tax Policy Center, these three pie charts show who those people are.
Kevin Roose at NYMag puts the data into words:
But back to the 47 percent. There are two primary ways to pay no (or negative) federal income taxes. The first is to be poor, and the second is to be elderly. In 2011, of the 18.1 percent of American households who paid no federal tax (meaning, no federal income or payroll tax), more than half were elderly, and most of the other half were non-elderly people making below $20,000 a year. The other sliver, roughly one in 20 non-payers, were people who made more than $20,000 in household income.
The reason being poor helps is because, with a combination of tax credits (like the earned income credit and the child credit) and deductions, many people earning under $20,000 a year can zero out their overall rate. The primary reason being elderly helps is that Social Security benefits aren't taxed as income, so if all (or most) of your income comes from your monthly Social Security check, your taxable income is marginal or non-existent.
So there you have it. The poor and elderly.
(Excerpt) Read more at businessinsider.com ...
We Conservatives have allowed the liberals to create this 50% underclass. It has taken them 30+ years and they have done it slowly.
Obviously, it needs to be changed. But how and at what speed?
IMHO, our first priority should be to stop the growth. Grandfather those who are in that class right now and raise the bar a good bit for future applicants.
Our second priority should be to reduce taxpayer funded giveaways for the current class. But slowly. Say, maybe 5% per year.
This issue will not be solved overnight. But we absolutely must stop the growth that is threatening to bring down the country.
Does that 53% percentage include the plethora of unionized government employees at all levels that are underworked and overpaid retiring in their early 50s at 90% of their last paycheck??? How many of these are going to vote for you??
You just insulted a whole lot of the working poor who pay payroll taxes and the elderly not living on those fat government pensions.
Whose votes are you really going after???
Who is John Galt?..............
More on EITC....
In 2008, 25 million tax filers received $51.6 billion in EITC benefits. Of this amount, $50.5 billion was refundable in excess of their income tax liability. Also in 2008, some 25.3 million filers received $30.7 billion in child tax credit benefits, with more than 18 million of these filers getting $20.5 billion in refundable checks. Many families are eligible for both the EITC and the child credit. These are not refunds of overpaid tax; they are payments to people who have already gotten back everything that was withheld from their paychecks during the year.
Fair and makes so much sense; save to those 'Reason challenged' and/or the 'wagon riders'; as the case may be.
If Ryan had said this, there would be pressure now to remove him from the ticket. Romney does not understand that a good chunk of the 53 percent is also for Obama, particularly suburban women in PA, OH, MI, VA, and WI.
I emailed the author and told him so. He and his editor, especially working for a business magazine, should know better.
Watch the press conference.
Romney said that Obama has a floor of about 47%, he has a very high percentage as a floor, and that the difference between his 47% and Obama’s 47% is that Democrats love the idea of government dependence.
He made no allusions to 47% being dependent on the government.
Yes, this is right. Conservatives are too confused to know what they should do. They are always, like Orrin G. Hatch et al, trying to go along to get along.
What is forgotten about the 47% is that they all pay sales taxes, local taxes, real estate taxes, state taxes, and property taxes, and Medicare and Social Security taxes.
It’s the burden of these taxes that affect the poor more than anyone else — and keep them poor.
Agreed! My Soc Sec income is also taxed. Maybe y'all and I are the only ones? :)
RE: Romney does not understand that a good chunk of the 53 percent is also for Obama, particularly suburban women in PA, OH, MI, VA, and WI.
If this is the case, what more is there to say? Obama 2012?
Well, Obama and company and the DNCp are certainly fine examples of it.
Look, the Republican party has some problems there too.
Saying the entire 47% are “Moochers” is not correct.
Good thing that’s not what Romney said. All he did that I can see is point out the fact that 47% paid no income tax. I guess telling the truth is out of fashion these days.
After all that plus EBT, SNAP, CRACKLE and POP, I guyess they are not really poor anymore are they Joe?
I'm not sure why this is thought of as a "setback." Those 47% would not have voted for him, anyway. While it may push a couple out of the lower end of the "independents," it should attract more than that number at the upper end.
"Upper" and "lower" are subjectively used here, but you know what I mean.
You beat me to the post...If they are counting SS as part of the 47% then the assumption is wrong. None of my friends who are retired are voting for “O”. We know full well what socialism does to a country and to our kids and grandkids!!
It is clearly exactly what the Firesign Theatre said it would be on 'In the Next World, You're On Your Own':
EVERYTHING!!! That's right...EVERYTHING!!!
But it is a Tax.
Im so damned tired of people trying to make out like it is. They are the REQUIRED contributions to Social Security and Medicare - NOT FEDERAL TAXES.
So then are taxes now "contributions" and not taxes???
Are they not collected by the FEDERAL GOVERNMENT???
Get Real. You are sounding like Nancy Pelosi.
Not hardly. SHE is one of the ones that purport that it IS a tax just like income tax. It is still not, regardless of your assumptions. It may be wasted, taken away and used for general fund uses, but it is not supposed to be. Why do you think GORE talked about the infamous lock box? They are talking out of both sides of their mouths - making "payroll taxers" think they are paying income taxes whilst simultaneously trying to make them think their payments to SS and Medicare are sequestered. I know real, it may be an 'effective' tax, but that's not what it was set up to be. And, helping these people think they are contributing to something is BS.
There is a third way. If you’re working your butt off supporting a wife and a couple of kids on an income of around $50,000 then the odds are that thanks to deductions and child tax credits you don’t pay income tax. That is the average family in the country. They aren’t poor, they’re just trying to get by. And they appear to be part of the 47% that Romnney has written off as never going to vote for him. How logical is that?
Said hardworking fellow will not spin the comment in his mind to mean what the liberals want it to mean.
Said hardworking fellow will know exactly whom Romney was referring to - the leeches.
“Its the burden of these taxes that affect the poor more than anyone else and keep them poor.”
Bullsh*t! What keeps them poor is their failing to do what is necessary not to be poor. If those taxes were “keeping them poor” then we’d all be poor.
Look on your paycheck. Your SS payments are classifed under OASDI (Old Age, and Survivor Disability Insurance) payments along with the Medicare percentage payments that are covered under the Federal Insurance CONTRIBUTIONS Act.
But, how they gonna show they have Obamacare if they don’t have taxes to pay? If they don’t have Obamacare and have no tax returns how will they be “fined” for not having Obamacare?
” Except once again SS and Medicare taxes are called payroll taxes as if those funds government operations like military, roads, education, etc. food stamps, sect 8, endless. They dont even cover those entitlements anymore as both are running huge deficits.
Yet they never come out and specifically say that those entitlements are unrelated to those taxes, or should be since thats what they imply. “
They lie : )
Yep, like on that debt limit deal bill. That one really urks me. Gilb and me been on thread on that for days not letting up.
Here's the problem we have. If conservatives are going to take on a % of the population as moochers(as a political negative symbol) much like Obama does with ‘the rich’, Romney cant do it. He cant win a battle like that, he's super-rich and white and was born rich. He's the wrong guy to do it. It wont work and will result in another lib victory and just more whining about how everything is unfair..This is a disaster,
Someone like Herman Cain could have done it, He was made for a battle like that. He would have been perfect, 'Black conservative works his way up through business with no gubment help'
Except that Romney apparently doesn't know that. Look at the clip. He specifically included the people who pay no income tax as part of those who won't vote for him and who he won't bother trying to appeal to. Either he does include the kind of people I spoke of as the freeloaders...or he hasn't a clue as to who the people who don't pay much in income tax are. I expect it's the second.
Now show the graph with the earned income tax credit included to see whether the total net federal tax (income tax + payroll tax - EITC) is zero or negative. That would chew into the 28% who don’t pay income tax but do pay a payroll tax.
great point. did they actually pay even $1, in NET tax?
and, i’d like to know how many illegals get refunds higher than they pay...
..because voters demand that they lie and tell them they earned it.
It's like the girlfriend who only puts out when guys lie to her and are only attracted to liars, she says that the honest guys are boring to her. But she always says she hates guys that lie.
Neither Romney, nor anyone that isn’t of the “democrat base”, is as stupid as it would be necessary to be to believe what you posted - that he was including the working but non-incometaxpaying folks as “freeloaders”.
The Herman Cain factor vs Obama would have been a hoot to watch. I liked the guy. It’s sad it turned out like it did.
How many of those pay their federal taxes???
And how may of those are part of Romney's 47%???
We're talking 99 weeks of unemployment benefits.
(Obama has now eliminated the job search requirement)
We're talking record food stamp recipients.
We're talking record disability recipients.
Ostensibly, they fall in the 53% shown and ceded-to by the author (then totally discarded). His point in the article is to make out like the cause for the 47% is solely due to the 'really poor' and the 'elderly' (a sympathetic term, isn't it?)
He then proceeds to totally discount the percentage of 47%' ers that pay what he and Democrats lovingly call "payroll" taxes as if they are actual 'cart pullers' instead of USERs. Actually, giving them double-credit for their payments, both as taxes, and as payments to SS/Medicare.
The truth is that half this country is on the dole, period. They pay no taxes that actually are intended for running the country, ineptly as it has been run, and they are simultaneously claiming (trying to) extra benefits from double-counted payments. It is disgusting. Leeches and users. This isn't the country in which we grew up (well, at least for me, anyway). It is overrun by leeches, moochers and no-accounts that offer no value added whatsoever.
But remember Obama's "bitter clingers" and other gaffes from 2008? That and other gaffes by him did diddly squat as far as determining the election. Now the press is screaming and hollering that Romney's "gaffes' are killing his chances. Most average Democrats are obtusely ignorant (the ignorati) and don't follow any news much less what Republican candidates say in speeches private or public. The bitter truth is: events and real situations i.e. foreign policy and economics determine elections. I doubt this supposed gaffe i.e. speaking the truth by Romney will influence the election one iota.
It’s not FAIR that the non-taxpayers get to vote but have not skin in the game!
The real missing info here is the number of people who are in a NEGATIVE INCOME TAX position:
A significant number of people qualify for a REFUNDABLE credit, like the Earned Income Credit or the Making Work Pay tax credit. They not only have no income tax liability, both of these credits are refundable.
Say, for example, their total tax liability was $1,000. Below that line, the form totals the amount withheld or paid in, and several tax credits. Let’s say they paid in $900, and then got an EIC of $800. A $1,000 tax bill, less their tax payments of $900 and less their $800 EIC, and they get $700 refund. THAT is a negative income tax.
I will bet the statistics do no show these people as getting government assistance, but in fact, they do. These are transfer payments.
Of course they won't.
Shout it out, over and over and over again.
Payroll tax is calculated on what? One's ability to work?
one's ability to get to work on time?
The amount of actual hours worked?
perhaps on the type of job one does?
Oh, wait, it is calculated based on the total gross amount of money one earns in a given time frame, ie, one's earning, gross earning.
From that, the boss deducts, for the employee, per schedule printed on government booklet, entitled income tax schedule.
The amount deducted, is based on the total income. It is a amount of money that is on a sliding scale, taking more out as the amount earned is increased.
It is a levy placed against one's gross earnings.
The govt long ago decided that taking out a per cent per check was much easier to get past the masses than one check a year, or quarter.
So, it is not called an income tax, it is merely a payroll tax, on income.
See the beauty of the plan?
Now, in case the payroll tax was erroneously calculated too low, there is another hurdle, the actual "income tax", to be calculated at the end of the year, based on deductions and the like (placed there by representatives as a favor to their constituents).it is after all not calculated on your payroll, bur your income.
See the difference?
Instead of payroll taxes, they should be referred to as entitlement taxes whenever possible so the purpose is more accurately described.
"To preserve [the] independence [of the people,] we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude. If we run into such debts as that we must be taxed in our meat and in our drink, in our necessaries and our comforts, in our labors and our amusements, for our callings and our creeds, as the people of England are, our people, like them, must come to labor sixteen hours in the twenty-four, give the earnings of fifteen of these to the government for their debts and daily expenses, and the sixteenth being insufficient to afford us bread, we must live, as they now do, on oatmeal and potatoes, have no time to think, no means of calling the mismanagers to account, but be glad to obtain subsistence by hiring ourselves to rivet their chains on the necks of our fellow-sufferers." --Thomas Jefferson to Samuel Kercheval, 1816. ME 15:39
” The Herman Cain factor vs Obama would have been a hoot to watch. I liked the guy. Its sad it turned out like it did.”
Yes. I wanted Cain too. A conservative with business talent. He was by far the best to destroy Obama as well. I still believe the Rove/GOPe did him in.
Is the problem that they pay no taxes at their income level or is the problem that we just have too many underworked and overpaid people at all levels of government who want to be paid to run the country.
google “100 or 110 million” on the dole and see that there are that many getting some sort of government assistance NOT associated with Social Security or Medicare and judge for yourself.
Based on this and approximately 330 million or so population juxtaposed against the 47% and a rough guess is 2/3 of the 47% are leeches and the 1/3 is the ‘other’ probably are a combination of ‘some work’ and maybe some retired.
It's not FAIR that underworked overpaid government employees get to vote because they are the recipients of all of that skin.
I heard he had a way with the ladies too. He wasnt shy LOL
Whether or not SS benefits are taxable depends on current income, with the taxable portion of SS benefits capped at 85% total benefits.
For example this year a married couple filing jointly would pay no income tax on SS benefits if their total income is less than $32,000.