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Posts Tagged ‘Buffett rule’

Depsite Obama storytelling, the facts remain—the rich already pay more in taxes

September 20, 2011 Leave a comment

So much for the “rich don’t pay taxes” meme:

The data tell a different story. On average, the wealthiest people in America pay a lot more taxes than the middle class or the poor, according to private and government data. They pay at a higher rate, and as a group, they contribute a much larger share of the overall taxes collected by the federal government.

There may be individual millionaires who pay taxes at rates lower than middle-income workers. In 2009, 1,470 households filed tax returns with incomes above $1 million yet paid no federal income tax, according to the Internal Revenue Service. That, however, was less than 1 percent of the nearly 237,000 returns with incomes above $1 million.

[...]

This year, households making more than $1 million will pay an average of 29.1 percent of their income in federal taxes, including income taxes and payroll taxes, according to the Tax Policy Center, a Washington think tank.

Households making between $50,000 and $75,000 will pay 15 percent of their income in federal taxes.

Lower-income households will pay less. For example, households making between $40,000 and $50,000 will pay an average of 12.5 percent of their income in federal taxes. Households making between $20,000 and $30,000 will pay 5.7 percent.

Facts are difficult for the left to embrace.

President to propose “millionaire’s tax” to help balance the budget

September 18, 2011 Leave a comment

This is either scraping the bottom of the ideas barrel or the president is light years ahead of the rest of us, and knows something we don’t:

Mr. Obama, in a bit of political salesmanship, will call his proposal the “Buffett Rule,” in a reference to Warren E. Buffett, the billionaire investor who has complained repeatedly that the richest Americans generally pay a smaller share of their income in federal taxes than do middle-income workers, because investment gains are taxed at a lower rate than wages.

Mr. Obama will not specify a rate or other details, and it is unclear how much revenue his plan would raise. But his idea of a millionaires’ minimum tax will be prominent in the broad plan for long-term deficit reduction that he will outline at the White House on Monday.

So for the second time in a month, President Transparency proposes a literal blank slate of legislation, and is encouragin its passage.  Kings have had harder times in mandating edicts.

What is this nonsense if it isn’t class warfare, and a desperate attempt to start discord among Republicans?   After a disastrous few weeks for Obama and the Democrats, this is most definitely be his desired goal.  The president knows that the proposed tax is dead on arrival in the House.  He knows this.  And anyone with a brain knows that this does nothing to create jobs, and is a drop in the bucket with regards to deficit reduction.

But Republicans will have to defend not endorsing it, and the administration, along with Democratic congressional leaders, will go on the offensive.  But as the weeks drag on, and the government continues to pump out report after dismal report on the state of the economy (the September NFP report is out in a little over two weeks), it might not make a difference for the administration.

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