Biden proposes higher taxes

[InformedConsent]

Originally Posted by Transmition

You're only specifically looking at federal income taxes because it looks the worst - it is structured so that the rich pay more of it. But it's not the only tax, it's not even the only federal tax, it's just an easy way to mislead people into thinking taxes are unfair.

If you look at all taxes paid as a proportion of income, then the richest generally pay around 8% and the poorest pay 12-15%. But don't let this make you think that a flat tax would be more fair. Tax dodges are rife, and a flat tax would just allow them to reduce their taxes further.

That's not possible. In just Federal Income Tax, alone, the top 1% pays a 25.9% Federal Income Tax rate. Then add all the other taxes they pay on top of that:

Chart: Average Effective Federal Income Tax Rate, by Income Group (2021)

As before, the IRS's published data for those who wish to confirm accuracy: https://www.irs.gov/pub/irs-soi/21in41ts.xls

What's really sad is that the Democrats/left-wing have been flat out LYING to their voter base because they know they can get away. They assume their voter base is too stupid to know any better, and they're not wrong about that.

[rantiquity]

Originally Posted by Taratova

The wealthy when they are over taxed find loopholes and ways to avoid taxes. They have the money and the incentive to do it. The middle class just have to pay and pay. Thee new back door tax on the middle class and poor is inflation.

Blame it on your congressperson who you continue to vote into office every election. They are the ones who pass the tax codes that allow tax loop holes. Mostly to benefit themselves.

[TMSRetired]

Originally Posted by Taratova

The wealthy when they are over taxed find loopholes and ways to avoid taxes. They have the money and the incentive to do it. The middle class just have to pay and pay. Thee new back door tax on the middle class and poor is inflation.

"Loopholes and ways to avoid taxes"

Those "loopholes" are actually part of the law. Congress wrote the bills that way.
Don't blame people for using the law to pay less taxes
Blame Congress for writing the laws that way

[margaretBartle]

Originally Posted by Transmition

If you look at all taxes paid as a proportion of income, then the richest generally pay around 8% and the poorest pay 12-15%.

We need to go a little deeper.
I've looked for years to find out how those figures came about, since the poorest get money back from the IRS. In Washington state, we don't tax the things poor people spend most of their money on : rent, insurance, medical care, day care, food, medication, utilities, student loan payments. The things that are taxed are basically, gas, property tax, and shipping mall stuff. When I was part of the working poor, I bought most of my "stuff" at yard sales, no taxes there, either.


The lowest quintile has very little income, mostly SSI or welfare, so their cash income is quite low. But they get maybe $30,000/year in welfare/subsidies. They spend most of their cash income on cigarettes and booze, which is VERY highly taxed, and that's why it's such a high percentage - because they spend most of the cash they get on items subject to the "sinner tax".s


Not that it makes a difference, but it's a good exercise in training ourselves to be a bit more discerning in our analysis, which is useful for the citizenry.

[andywire]

Just more proof that Biden hates you every bit as much as you hate him. Although I don't hate him at all. When it comes to dementia, hate the disease, not the patient.

[TMSRetired]

Biden is not going to renew Trump's tax cuts - everyone's brackets will revert back to what they were -
3% higher for everyone

[lauradrops]

Originally Posted by margaretBartle

President Biden has formally proposed the highest top capital gains tax in over 100 years. Here is a direct quote from the Biden 2025 budget proposal: “Together, the proposals would increase the top marginal rate on long-term capital gains and qualified dividends to 44.6 percent.”
Yes, you read that correctly: A Biden top capital gains and dividends tax rate of 44.6%





Depends entirely on how the media plays it.
People don't vote on their interests, they vote on their emotions, which are being
played by the spinmeisters.


If they were voting for their interests, voters would pay attention to the details.
58% of the households in the US own stock, mostly in their pension funds.


How many people want 44.6% of their pension fund profits taxed?
Nothing is ever simple. There would be carve-outs that change over time, so who benefits, and by how much, is very difficult to predict, or even understand.

Pension funds are not paying capital gains and dividend tax. When the employee gets a distribution, they are taxed at their ordinary income rate.

While 58% of households in the US own stock, only 1.8% are earning $1,000,000 or more in annual income and would be affected by this change.

I think it's funny that people earning less than $1,000,000 a year are upset and worried about protecting the people earning over $1,000,000 per year.

But we will see the average worker acting outraged about this because their preferred news organizations tell them they need to be outraged and scared. It is so ridiculous.

[xray731]

History has shown that you give them and inch and they take a mile and why those little guys are sweating this. This will trickle down and the middle class and poor will end up paying for this in some fashion.

[rantiquity]

Originally Posted by TMSRetired

"Loopholes and ways to avoid taxes"

Those "loopholes" are actually part of the law. Congress wrote the bills that way.
Don't blame people for using the law to pay less taxes
Blame Congress for writing the laws that way

Oh I don't blame anyone to trying to lower their taxes.

Actually people who continue to vote those congresspeople into office are the blame.

[rantiquity]

Originally Posted by margaretBartle

We need to go a little deeper.
I've looked for years to find out how those figures came about, since the poorest get money back from the IRS. In Washington state, we don't tax the things poor people spend most of their money on : rent, insurance, medical care, day care, food, medication, utilities, student loan payments. The things that are taxed are basically, gas, property tax, and shipping mall stuff. When I was part of the working poor, I bought most of my "stuff" at yard sales, no taxes there, either.


The lowest quintile has very little income, mostly SSI or welfare, so their cash income is quite low. But they get maybe $30,000/year in welfare/subsidies. They spend most of their cash income on cigarettes and booze, which is VERY highly taxed, and that's why it's such a high percentage - because they spend most of the cash they get on items subject to the "sinner tax".s


Not that it makes a difference, but it's a good exercise in training ourselves to be a bit more discerning in our analysis, which is useful for the citizenry.

Highlightened above^^

Whoa...don't give democrats any ideas to gain new tax money by taxing yard sales.