http://www.marketwatch.com/story/45-of-americans-pay-no-federal-income-tax-2016-02-24 http://www.taxpolicycenter.org/numbers/displayatab.cfm?Docid=4323 this year. Ridiculous. And some liberal loons think there is nothing wrong with our current tax code with all its contorted regulations, loopholes and exemptions? Bleh. (I just heard my bad news from my accountant. I'm not a happy camper.)
It is, indeed, absolutely insane how our tax system is currently structured. Dang near half of us are shouldering the burden of everyone else. Heck, factoring federal income tax, state income tax, property tax, social(ist) security, medicare, gasoline tax, propane tax, NFA tax, tobacco tax, capital gains tax, assorted fees and BS, our household kicking in about 50¢ on the dollar. Yeesh, enough already. Of course, one party, the DNC, is committed to one fundamental principle: it ain't enough! Well, for those that actually work for a living ....
We've needed tax reform for quite some time. It's ridiculous that about half the population doesn't pay anything in income taxes. Though, pretty much every citizen pays a good bit of taxes just by going through normal day to day life, I think everyone should probably pay just a little bit into the system. I prefer a flat tax. But anything that moves us away from the current progressive income tax structure would be ideal.
Don't forget that those not paying federal income tax still do pay all of the others. It's not like they dont get taxed at all and you are paying for two people. But I do agree that the system is way too complicated. So basically they are saying that a really huge number of people have some sort of tax breaks large enough to eraes the whole federal income tax?
I love when people tell me that the rich get lots of breaks and don't pay any taxes, they never listen when I tell them that wealthy people pay most if not all the taxes in the USA.
People know how to get around tax and so much is tax deductible, it's no wonder people pay no or very little tax. Besides the fact many do claim welfare, or work under the table. It's not only the US, other countries now have people paying no or very little tax because of loopholes that are available.
While I'm from the UK so I don't know how the US tax system is worked out, but for that matter I know a lot of Americans that aren't sure either, but that's beside the point. The point surely must be, that a better, fairer system needs to be worked out. There's no use in just talking about it like they have been doing for all these years, it needs to be implemented otherwise there's no point in even discussing it.
My personal belief is that this is what is causing the downfall of our economic system. And the problem is bipartisan. You have each party trying to lower taxes from one extreme side or the other. The Dems like that the poorest 40% do not pay taxes and constantly try to creep up that number. The Reps put in tax cuts and tax loopholes for the rich which lowers their taxes.. and in the end, the country needs revenues, so the only people left to tax are the middle class. In 2012, Mitt Romney was paying a much lower tax rate than I was, Warren Buffet was paying a lower tax rate than his secretary etc. Not to go all Bernie Sanders on you, but another big issue is just prison. In the USA right now, we have about 10 million young men who have minor non-violent drug convictions that gives them a permanent felony record. Those 10 million young men have almost 0 opportunity to ever pay income taxes in their lives. They are simply never going to be able to get a job that pays enough to get them out of the lowest 30% of wage earners. The best case scenario is they remain out of prison working low paying jobs and never paying income taxes, but the more likely situation is they return to crime because it is the only way they can make decent money, and they still pay 0 taxes.
It is quite sad to say the least. Some people have tons of kids and get through life practically free because of it. I am not against people who like to have large families, but they need to know how they are going to pay for all ofthe kids before they have them and not depend on state and federal assistance. I had 2 because that was how many we knew we could afford.
I entered the country on an income level where I paid no tax. Now I am almost in the top tax bracket. I assure you being someone who pays in, is a lot more fun than being someone is exempt. On that wage I did not eat regularly and sometimes donated blood to get money needed to pay the rent. Anyone wanting to tax me more back then would have to take the extra in spare bodily organs or be prepared to see me living on the street in a cardboard box.
