Over the next year you are going to hear a lot of rhetoric about taxes, the rich, fair share and all the rest. Here are the facts, I will leave it to you determine what is fair.
What appears clear is that half of Americans do not pull their financial weight. What is not clear is this because of choice, chance or circumstance.
To gain a perspective on income levels, here is a calculator to determine your income percentage. Note: the 1% generally starts at about $400,000 per year; pretty good but hardly millionaires and billionaires. Do you think having an income of $400,000 or more is unfair?
VOTE IN OUR POLL ON TAX RATES
- In 2013, 138.3 million taxpayers reported earning $9.03 trillion in adjusted gross income and paid $1.23 trillion in income taxes.
- Every income group besides the top 1 percent of taxpayers reported higher income in 2013 than the previous year.
- All income groups paid higher taxes in 2013 than the previous year.
- The share of income earned by the top 1 percent of taxpayers fell to 19.0 percent in 2013. Their share of federal income taxes fell slightly to 37.8 percent.
- In 2012, the top 50 percent of all taxpayers (69.2 million filers) paid 97.2 percent of all income taxes while the bottom 50 percent paid the remaining 2.8 percent.
- The top 1 percent (1.3 million filers) paid a greater share of income taxes (37.8 percent) than the bottom 90 percent (124.5 million filers) combined (30.2 percent).
- The top 1 percent of taxpayers paid a higher effective income tax rate than any other group, at 27.1 percent, which is over 8 times higher than taxpayers in the bottom 50 percent (3.3 percent).
Source: The Tax Foundation