Double taxes on the rich and you still wouldn’t balance the U.S. federal budget

August 5, 2009

Here is some fun tax information: The top five percent of tax filers in terms of adjusted gross income earned $3.3 trillion and paid $676 billion in taxes in 2007.  (That accounted for 61 percent of taxes, by the way.) So if we doubled their average tax rates, America would still be running a budget deficit for years to come. And that assumes no economic impact from the higher tax rates.

5 comments

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[...] View post: James Pethokoukis » Blog Archive » Double taxes on the rich and … [...]

We are not going to find the pot of gold at the end of this rainbow. Government is unstable and out of hand and that includes lawmaking and spending. This did not just happen, it has been this way for quite some time. This is akin to General Motors in that we all agree it is not working, but no one has a clue how to fix it. I don’t know how to fix it other than to recall our representatives, provide direct oversite on everthing they do and start limping forward

Posted by f belz | Report as abusive

The reality is all of us American will pay higher taxes to cover Obama’s ambitious health care program. Taxes and spend and that’s what government do.

I don’t believe one bit when Obama said no taxes on the middle class. If you do the math, how is he going to pay for it without raising taxes ? We’re all screw no matter what. My salary decrease but my taxes are going up. Our country is heading to a disaster.

Those politicians in Washington are not living in the real world.

Posted by John | Report as abusive

The wealthy need their windfall profits to create jobs….not outsource or hide in Switzerland banks.

Posted by Ken | Report as abusive

Better yet: Tax the top 5% at 100% – i.e. the full $3.3T of income – and you’d barely pay for $1T for healthcare “reform,” $1T for “cap and trade,” and the existing $1T+.

I wonder what % of the American public has a job as a result, either directly (s/he created the company) or indirectly (s/he is an investor in a company), of the top 5% of income earners?

Posted by jack | Report as abusive

THE COMING MASSIVE TAX HIKE ON THE MIDDLE CLASS

To initiate an advance on the lengthy economic turnaround, the joy ride of debt-spending-with-wanton-abandon mindset enjoyed by Bush and continued by Obama must be brought to a close.

Here come the real tax increases on Everybody.

http://pacificgatepost.blogspot.com/2009  /08/obama-middle-class-income-tax-incre ases.html