I'm under the impression that some of the really wealthy - or if not wealthy - the high cash flow earners are using creative consultation to dodge paying significant taxes - while it's hard working general population sorts who have decent income but not enough clout or revenue to afford or obtain creative tax planning to get an "edge". I'm perhaps under the mistaken presumption that a lot of high flyers have an advantage the rest of the majority has no access to.
Of course, I'm no expert - but the AMT is also pinching us too... and that was never intended to target folks like my spouse and I - of that I'm sure. Now out of the corner of my screen I can see SIL posted something which I have not read yet - and he's the professional - so maybe I've shot off my opinion prematurely - and maybe not. I'm about to read with SIL said - and maybe I will or maybe I won't edit this. Wait and look for the tell tale editied time thing at the bottom....
And SIL... I thought ther were discussions citing what various income strat pay in income taxes which suggested the extreme upper and lower income levels were not paying anything of consequence while the middle and upper middle income sorts wer shouldering the tax burdon. OK... now I gotta go google for some tax data .... excuse me
OK... I'm back - this chart below showing a summary with undocumented citation (except it's showing a period only 1979 to 1999) suggests the majority of the tax burdon is being paid by those between the top 5-20th% and that is what I am concerned with... the apparent inequity of this imbalance. In the quoted example above.... a flat tax of 5% would tag the family making $50,000 for $2,500 while the family making $500,000 would actually pay
$25,000 (not $10,000). Which I suspect might be more than they actually pay as share of the national tax collected without a flat tax. AND - might I add that I suspect the family earning $10,000,000 is NOT paying thier fair share of taxes... IE, they should pay 5% or $500,000 in taxes with our imaginary 5% tax - but in the real world they escape paying this type of sum.
Of course, if I ever grow my income to $10,000,000 a year I'll be singing a different song.
And SIL... please forgive me for being perhaps professionally insensitive. My Cousin would probably have something to say too about this since he works in "TAX" as well (he'd slap me up-side the head I'm sure). Alas, I'm really just thinking what would make our system more fair - if there ever was such a thing - and what countries are doing well with thier tax collection mechanisms and systems?
I am NO expert on this matter - just more of a laymans' uneducated opinion.
Ok... here's another tax table that is more current from a reliable source. I'm still musing the methodology and statement this is illustrating.
and prayers to everyone who is going to need it today
aboard to all the newbies
