Tax bills in 2009 at lowest level since 1950!

[CapitalistRadical]

http://www.usatoday.com/money/perfi/taxes/2010-05-10-taxes_N.htm


Federal, state and local taxes — including income, property, sales and other taxes — consumed 9.2% of all personal income in 2009, the lowest rate since 1950.


Really?

[FSP-Rebel]

Less people are employed nowadays, but the people who still work pay the respective tax rates.

It says, "Individual tax rates vary widely based on how much a taxpayer earns, where the person lives and other factors. On average, though, the tax rate paid by all Americans — rich and poor, combined — has fallen 26% since the recession began in 2007. That means a $3,400 annual tax savings for a household paying the average national rate and earning the average national household income of $102,000." - Certainly, no where near the median household income, which is just under $47k per year as of '09.

[Anti Federalist]

Total tax burden and Tax Freedom Day 1950

24.6% - 31 March

Total tax burden and Tax Freedom Day 2010

26.89% - 9 April

http://www.taxfoundation.org/taxdata/show/386.html

[KCIndy]

http://www.usatoday.com/money/perfi/taxes/2010-05-10-taxes_N.htm


Federal, state and local taxes — including income, property, sales and other taxes — consumed 9.2% of all personal income in 2009, the lowest rate since 1950.

Really?


I smell a statistical rat.

Given that most people with any livable level of income are taxed at 28 percent and up, there's no way that EVERYONE fits into this 9.2 category

One look at my 2009 tax return tells me I lost a LOT more than 9.2 percent of my income to taxes.

[Zippyjuan]

A 28% tax bracket is the MARGINAL rate. That is the tax rate applied to each additional dollar earned- but not all of your income is subject to that tax. You get your personal exemption plus any other deductions- those dollars are taxed at zero percent.
While the income level sounds high (and it may be) that is the total household income- not individual income. If you have two people taking home $50k a year in the same house you have a household income of $100k. Another point is "average income" vs "median income". Average you take all the people, add up their earnings and divide by the number of people. Ok. For median income, you make a list of all the people by income and find the person in the middle. If the people at the top make a significantly large amount of mone then the average will be higher than the median.

Lets consider five numbers. 1, 2, 3, 4, and 10. The median of this list would be three (the one in the middle). but the average (total of twenty divided by five) would be four, not three.

I would have to check the numbers but the top ten percent of people earn something like 50% of all the income in the US (may or may not be that number but it is high).

[Chester Copperpot]

http://www.usatoday.com/money/perfi/taxes/2010-05-10-taxes_N.htm




Really?

No not really...

Lets see.. FICA comes out of your paycheck at 15%....

Okay and federal income tax low bracket is say 15%

State income taxes probably average around 7%

State sales taxes probably average 7%

and we're not even talking about all the taxes on gasoline, or property taxes.. But I think its safe to say that nobody is paying 9.2% in taxes...

Oh and lets not forget inflation.. thats a tax too.. real inflation is running around 10% right there..

[Elwar]

Total Spending:
1950 - $44.8 billion ($395 billion in 2010 dollars)
2010 - $3.7 trillion

Total Revenue:
1950 - $43.5 billion ($383 billion in 2010 dollars)
2010 - $2.165 trillion

[Travlyr]

Dennis Cauchon, USA TODAY must have simply forgotten about inflation. :rolleyes:

"The idea that taxes are high right now is pretty much nuts," says the imbecile Michael Ettlinger, head of economic policy at the liberal Center for American Progress.

And news organizations complain that sales are down! WTF! We are not as stupid as "they" think we are. :cool:

[HOLLYWOOD]

You forgot a TON of taxes and the declining tax credits BS scam.

AMT

BTW... Single individuals are the most discriminated tax wise/society. The system is designed to force Americans to CONSUME and keep the INDEBTEDNESS running.

[cindy25]

were social security and medicare counted?

[free1]

http://www.usatoday.com/money/perfi/taxes/2010-05-10-taxes_N.htm




Really?

USA today needs to post a retraction, or fire the writer. Please post a e-mail for this.

[Jordan]

A 28% tax bracket is the MARGINAL rate. That is the tax rate applied to each additional dollar earned- but not all of your income is subject to that tax. You get your personal exemption plus any other deductions- those dollars are taxed at zero percent.
While the income level sounds high (and it may be) that is the total household income- not individual income. If you have two people taking home $50k a year in the same house you have a household income of $100k. Another point is "average income" vs "median income". Average you take all the people, add up their earnings and divide by the number of people. Ok. For median income, you make a list of all the people by income and find the person in the middle. If the people at the top make a significantly large amount of mone then the average will be higher than the median.

Lets consider five numbers. 1, 2, 3, 4, and 10. The median of this list would be three (the one in the middle). but the average (total of twenty divided by five) would be four, not three.

I would have to check the numbers but the top ten percent of people earn something like 50% of all the income in the US (may or may not be that number but it is high).

Plus less than half of the population actually pay taxes while far more earn an income.