Right Thinking From The Left Coast
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Truth to power

I know the left loves to tell us all how the rich never pay their fair share, usually right before they tell us they plan to fleece them to increase government’s power and control of our lives under the guise of some do-good collectivist right or benefit, but the facts speak for themselves. The most popular leftists/statists line these days is how the rich, and especially that top 1%, don’t pay their fair share in taxes.

Newly released data from the IRS clearly debunks the conventional Beltway rhetoric that the “rich” are not paying their fair share of taxes. Indeed, the IRS data shows that in 2007—the most recent data available—the top 1 percent of taxpayers paid 40.4 percent of the total income taxes collected by the federal government. This is the highest percentage in modern history. By contrast, the top 1 percent paid 24.8 percent of the income tax burden in 1987, the year following the 1986 tax reform act.

Remarkably, the share of the tax burden borne by the top 1 percent now exceeds the share paid by the bottom 95 percent of taxpayers combined. In 2007, the bottom 95 percent paid 39.4 percent of the income tax burden. This is down from the 58 percent of the total income tax burden they paid twenty years ago. To put this in perspective, the top 1 percent is comprised of just 1.4 million taxpayers and they pay a larger share of the income tax burden now than the bottom 134 million taxpayers combined.

Some in Washington say the tax system is still not progressive enough. However, the recent IRS data bolsters the findings of an OECD study released last year showing that the U.S.—not France or Sweden—has the most progressive income tax system among OECD nations. We rely more heavily on the top 10 percent of taxpayers than does any nation and our poor people have the lowest tax burden of those in any nation. We are definitely overdue for some honesty in the debate over the progressivity of the nation’s tax burden before lawmakers enact any new taxes to pay for expanded health care.

Read that line I bolded, and read it twice please progressives. And here is the graph in case you are too lazy to click the link:image

Yeah, the data ends in 2007 (who was president as this trend materialized BTW you libs), but my guess is that as the 2008 and 2009 numbers come out, the difference will be even bigger. There is a disproportionate tax burden here, but unlike what the progressives tell us every time they open their mouth to complain about evil America, capitalism, and Bush-Hitler, it isn’t the way they want us to think it goes. If the 95% lowest income people paid 39.5% of the taxes in 2007, that number is from the IRS itself BTW, that means that the remaining 5%, the evil rich the progressives blame for their lot and so long to soak even harder, already are paying 60% of the taxes collected by the IRS. My guess is progressives would not be happy until that number was around 95% though.

Cross posted at Wasting time with Alex


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