Tax burden lowest since 1958

[ugonow]

Never would guess it by the media. www.usatoday.com/money/perfi/taxes/2011-05-05-tax-cut-record-low_n.htm

[Driftr]

May 6, 2011 12:17:08 GMT -5 ugonow said:

Never would guess it by the media. www.usatoday.com/money/perfi/taxes/2011-05-05-tax-cut-record-low_n.htm

Probably because:

The fall in taxes is almost entirely caused by a weak economy rather than lower rates, says Curtis Dubay of the conservative Heritage Foundation. "It's easy to draw the wrong conclusion," he says.

[ugonow]

And that would affect the percentage of income paid in taxes? "The total tax burden — for all federal, state and local taxes — dropped to 23.6% of income in the first quarter, according to Bureau of Economic Analysis data.

By contrast, individuals spent roughly 27% of income on taxes in the 1970s, 1980s and the 1990s — a rate that would mean $500 billion of extra taxes annually today, one-third of the estimated $1.5 trillion federal deficit this year.

[❤ mollymouser ❤]

Those statistics never make me feel any better ~ probably because I wasn't even born in 1958. I'm (admittedly) more focused on the taxes I'm paying today... including 10% state income tax, nearly 10% state sales tax, etc.

[Driftr]

Don't worry Molly. If you spend and/or earn less your tax burden will decrease.

[ugonow]

Don't worry Molly. If you spend and/or earn less your tax burden will decrease.

Especially if you are spending it on a good tax guy...

[Deleted]

Those statistics never make me feel any better ~ probably because I wasn't even born in 1958. I'm (admittedly) more focused on the taxes I'm paying today... including 10% state income tax, nearly 10% state sales tax, etc.

Mollymouser is right. Plus don't forget the HIDDEN taxes that we pay. Property tax, fee's (like on a car or boat, gas tax (hidden in the per gallon cost) & I'm sure a lot more. People tend to forget all of those "extra" ways that both the state & federal government raise money. Then theres the increase costs that the government passes on to us. Stuff like entry fee's to national parks (they have gone up a lot over the years) & things like that.

Of course if your one of those people that loves social programs you will say that we are paying less in taxes than we have before (because you want us to pay more & fund social programs) but the true is that the more we pay, the less we have to spend. The less we spend, the slower our economy.

[❤ mollymouser ❤]

Fortunately, my wonderful DH doesn't need to "earn less" to lower our tax burden ~ the military is taking care of that for us by repeated deployments to combat zones, triggering the CZTE.

[burnsattornincan]

I guess you would have to be pretty dumb to think you are paying lower taxes today than in 1958. As Mr. oldtex says, many hidden taxes are being paid. The one most people don't think of is the "tax" you are paying on your ever decreasing US dollar. Inept government policies bring down your buying power every day.

[Deleted]

May 6, 2011 15:02:20 GMT -5 burnsattornincan said:

I guess you would have to be pretty dumb to think you are paying lower taxes today than in 1958. As Mr. oldtex says, many hidden taxes are being paid. The one most people don't think of is the "tax" you are paying on your ever decreasing US dollar. Inept government policies bring down your buying power every day.

As in deficit spending with QE to cover the debt. Couldn't of said it better Burns.

[henryclay]

And if they are talking about percentages, I wonder if there was nearly 50 percent of the (legal)population that didn't pay income tax during the referenced years.

Why do I NOT think so?

[fairlycrazy23]

Our tax system makes it very hard to draw an kind of useful conclusions , we need to scrap our entire federal income and payroll tax system and replace it the fair tax.

[henryclay]

Better look out. The rich would be glad to have some of the almost 50% of American freeloaders paying their "fair" share of the tax burden.

[hello fromWarsaw]

Classic Pub BS.The payroll taxes and federal fees the poor pay put them in the same federal bracket as the bloated rich. If the rich/poor gap wasn't the biggest EVER after 30 years of voodoo, and upward social mobility the worst EVER, we'd have a happy country. But thanks for the divisive , arrogant, delusional Pub BS. And thanks for the deregulation/fraud/depression and the stupidest wars ever....

[henryclay]

Oh, come on now, Warsaw. Why don't you tell us how you "really" feel?

You want a "fair" tax? The wealthy have money to spend now, and they won't be spending any more of it under your fari tax. But they also won't be paying the government just because they HAVE it either, like they do now.

Better think again about how your "fair" tax would work.

[Deleted]

Balony its an economy issue... taxes are 14.5% of GDP anymore... they have historically been 18-20%.... it isn't just that we are taking in less... we are taking in less as a percentage of the GDP...

[jkapp]

May 6, 2011 12:29:00 GMT -5 ugonow said:

And that would affect the percentage of income paid in taxes? "The total tax burden — for all federal, state and local taxes — dropped to 23.6% of income in the first quarter, according to Bureau of Economic Analysis data.

By contrast, individuals spent roughly 27% of income on taxes in the 1970s, 1980s and the 1990s — a rate that would mean $500 billion of extra taxes annually today, one-third of the estimated $1.5 trillion federal deficit this year.

Yet less than two thirds of the crap stimulus that got us nowhere...

[fairlycrazy23]

I just find it astonishing that anyone would think a quarter of anyones income should go to the state.

[Savoir Faire-Demogague in NJ]

My tax burden as far as federal goes, was the highest in 2007. It rose steadily from about 2004 through 2007.
Today, my 2010 taxes are lowest since 2005, in spite of earning an annual income of 20% more.

[ugonow]

I was skeptical of the study myself.I first assumed they were just talking about federal income tax,which would not be as hard to believe.But state and local taxes have been killers lately.