(06-17-2021, 09:16 AM)HURRICANE!!! Wrote:

(06-17-2021, 04:58 AM)The Real Marty Wrote: "True tax rate" is a made up thing.   There's no such thing, because we don't tax wealth.   We tax income.  Wealth taxes are unworkable.  Several countries have tried them and abandoned them.  Wealth taxes are also unconstitutional.  

So, when you say, "the top 5 wealthiest Americans only paid ~ 3.4% income tax last year..." that is incorrect.  Absolutely false.  

Do you know that when it comes to income tax, the top 1% of all earners pay 40% of all US income tax?  That is a fact.  Do you also know that the bottom 50% of all earners pay 3% of all US income tax?  The top 1% pay more income tax than the bottom 90% pays.  

Ok, Jeff Bezos made $1.7m as CEO of Amazon?  Do you think it's fair that (using the average), he pretty much paid a 3.4% tax rate on his AGI whereas the average person making 60K per year pays 22% on his AGI?

I'm not saying high income people or wealthy people don't pay a lot --- I'm just stating it's not fair in the long run.  Yes, I guess I support a flat tax on income if that's what it takes to have everyone pay something like 20% on their income.

I must admit that I'd like to know how much people like LeBron and Kevin Durant pay on their $40m salaries + endorsement income.

The highlighted part is not true.   I think you're again conflating wealth with income.  Those are not the same thing.  

In addition to that, it is not true that a person making $60,000 pays 22% in federal income tax.  In this case, you are taking the marginal tax rate and confusing that with the average tax rate.   A person making $60,000 pays 22% only on amounts over $40,526.  

Jeff Bezos paid $973,000,000 in taxes last year, on $4.22 billion in income.  That makes his average tax rate 23%, but his marginal tax rate was 37%, which is the top bracket.  

If you support a 20% flat tax, you will pay more tax and Jeff Bezos will pay less.

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