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Why the Wealthy in the US are Overtaxed

Original post made by Marie Pinucci, Another Pleasanton neighborhood, on Feb 2, 2013

According to the Institute on Taxation and Economic Policy's new study on who pays how much in state and local taxes:

Combining all of the state and local income, property, sales and excise taxes state residents pay, the average overall effective tax rates by income group nationwide are 11.1 percent for the bottom 20 percent, 9.4 percent for the middle 20 percent and 5.6 percent for the top 1 percent.

In Washington, the most regressive state, the poorest 20 percent of the population pays 16.9 percent of its income in state and local taxes while the richest 1 percent pays a burdensome 2.8 percent. By contrast, in Vermont, the most "progressive" state, the poorest 20 percent pays 8.7 percent while the richest 1 percent pays 8 percent.

In California, the bottom 20 percent only pay 10.6% in taxes, while the oppressed top 1 percent pay a whopping 8.8%.

Texas, in contrast, has a much fairer tax system. There, the bottom 20 percent pays 12.6% in taxes, while the top 1 percent pays an exorbitant 3.2%

"Fair is fair," states Texas Republican Governor Rick Perry, "and if the bottom 20 percent pay almost 4 times more than our job creating heroes, that's just a reflection upon their own stupidity." He then further quipped: "Maybe the poor should hire a team of competent tax lawyers."

Comments (1)

 +   Like this comment
Posted by Cholo
a resident of Livermore
on Feb 2, 2013 at 2:00 pm

I have a cute greeny crystal ball and I'll consult with it soon. I'm sure my crystal ball has an explanation for what seems to be another inequity in this cruel world.

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