Liberal Forum

supraTruth » 11 May 2022, 1:17 pm » wrote: ↑

11 May 2022, 1:17 pm

60 vote RNC FILIBUSTER KEEPS MOSCOW MITCH IN CONtrol of BLOCKING ANYTHING POSITIVE FOR MIDDLE-CLASS AMERICANS, U STOOOPID ASSHOLE NAZI!

The Tax Burden for Low-Income Taxpayers

Only 1.4% of the $1.45 trillion in taxes paid in 2015 was contributed by taxpayers earning less than $30,000, according to the Pew Research Center.8  According to the IRS, $1.6 trillion was collected in total income taxes in 2019, but those in the lower half of the AGI spectrum reported lower incomes.9 It should also be noted that many taxpayers in this income group received income from the government in the form of those refundable tax credits—the IRS paid out about $62 million in earned income tax credits in 2020 (based on 2019 returns). The average payment to qualifying taxpayers was $2,461.10 

The Tax Burden for Middle-Income Filers

Data from IRS breaks down taxpayers into just two groups: the top 50% of earners and the bottom 50%. In 2019, the top 50% accounted for more than 96% of the income taxes paid while the lower 50% demographic contributed just 3.06% of taxes paid that year. The bottom half of taxpayers paid an effective tax rate of 3.54%. These were taxpayers with AGIs below taxpayers with AGI below $44,269.11 

The Tax Burden for High-Income Taxpayers

Wealthy individuals do indeed pay more in taxes than low-income or even middle-income individuals. It's just basic math. In 2019, the top 1% income earners paid 38.77% of total income taxes paid that year.12 Even if the tax system were not progressive and everyone paid the same percentage of their incomes, 15% of $30,000 is a great deal less than 15% of $300,000. But we do have a progressive system, so high-income individuals pay higher effective tax rates, even after all those tax credits and deductions are taken into consideration. Those deductions won’t reduce $300,000 to $30,000. According to the IRS, those with AGIs between $2 million and $5 million paid a 27.5% effective tax rate in 2019, although the effective rate dropped to 24.9% for the super-wealthy with AGIs of $10 million or more.