To those who hold that government should be all things to all people at all times, the prospect of cutting back the ever-escalating level of government spending is a non-starter. Like their chief spokesman in the White House, they propose a different solution: Make “the rich” pay more.
Never mind that while President Obama talks about socking “millionaires and billionaires” who “can afford it” with higher taxes, the hikes are actually designed to wallop folks making $200,000 a year. That’s actually a tad less than a million. In many areas, such a salary hardly qualifies one as rich.
We’re supposed to ignore the fact that federal income taxes remain progressive. The richer you are, the more you pay. That’s why the top five percent of earners pay 59 percent of federal income taxes, while roughly the bottom half pay nothing at all.
“Fair” becomes slippery.
Also slippery? The real-world outcomes. Say tax rates were raised enough that deficits might be covered. What would happen?
Just recently I had dinner with a couple of millionaires. “You know, we don’t have to work,” they told me. “We already have enough money to live out the rest of our lives, so if we’re going to be punished tax-wise, we’ll simply retire.” Comfortably, in fact.
But what about those they employ? What about the enterprises and jobs they won’t create?
Maybe punishing productive folks with even higher taxes isn’t such a great idea.
This is Common Sense. I’m Paul Jacob.
7 replies on “At Risk of Drowning”
The sentiments of the piece should be captured in about four sentences, with an easy, memorable graphic that should be emblazoned on the sleeve of every thinking citizen. I fear though, that “tax the rich” is so much easier to deal with that it is what the bulk of the body politic will hear whenever the subject comes up. I pray someone proves me wrong.
Who is John Galt?
You are, of course, right. I’m a blue collar worker, but I don’t feel that I’m being oppressed by the wealthy. I feel blessed to live in a country where, to this point at least, we are free to go as far as our ability and initiative will take us. Unfortunately however, a substantial percentage of Americans don’t share those sentiments. Many are envious and resentful of people who have more “stuff” than they do. They are easily swayed by those who love to stoke the fires of class warfare.
Yes, unfortunately, in today’s society, common sense and critical thinking are not valued or encouraged. Even amoung the highest polico-office holders. The existance of the Tea Party is about the only thing that gives me hope for this country. The corruption and dishonesty must stop or this “shining city on a hill” will be no more. And, where in the world will our children escape to? Once America is gone, the misery will be endless.
“The top five percent of earners pay 59 percent of federal income taxes” is commonly noted, in print and on tv. What is more germane is the fact that this 5% EARNS only 35% of Adjusted Gross Income (AGI) while paying 59% of federal income tax.
I can find nothing “fair” about paying 59% while earning just 35%. The only excuse for this is if the top 5%’s Adjustments to Income (lines 23-35 of Form 1040) somehow allows them to grossly reduce their “real” income so that they aren’t really earning just 35% of the nation’s income.
Yes the idiot says tax the rich more take from them, he is rich the idiot why doesn’t he put his salary and his wifes into the pot. The rich that hire the people will just move on out of here if he keeps up his bs
How is “tax the rich” different than mob theft?
Perhaps we should have taxes that tax everyone the same amount. After all, don’t we all enjoy the “blessings” of government equally?