A Tragic Irony: Tax The Rich, Hurt The Poor

[red states rule]

When will the left learn the most basic principal of economics? You will NEVER make poor richer by making the rich poorer





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When the tax rate on the highest incomes was 73% in 1921, that brought in less tax revenue than after the tax rate was cut to 24% in 1925. Why? Because high tax rates that people don't actually pay do not bring in as much hard cash as lower tax rates that they do pay. That's not rocket science.

Then and now, people with the highest incomes have had the greatest flexibility as to where they will put their money. Buying tax-exempt bonds is just one of the many ways that "millionaires and billionaires" avoid paying hard cash to the government, no matter how high the tax rates go.

Most working people don't have the same options. Their taxes have been taken out of their paychecks before they get them.

Even more so today than in the 1920s, billions of dollars can be sent overseas electronically, almost instantaneously, to be invested in other countries — creating jobs there, while millions of Americans are unemployed. That is a very high price to pay for class warfare rhetoric about taxing "millionaires and billionaires."

http://www.investors.com/NewsAndAnalysis/Article/572307/201105161817/A-Tragic-Irony-Tax-The-Rich-Hurt-The-Poor.aspx

[DragonStryk72]

And this is yet another good reason for the Fair Tax. No more double hit on investments, no more payroll taxes holding down the employee's wages or keeping employers from hiring more people. Best yet, you get 100% of your paycheck, minus what you pay for your medical and such.

Even if they did "pay" the income tax, the poor would suffer. Businesses would close, lay offs would be all over the place, and the price of goods and services would rise, making so that we're the ones who are actually paying. Better to switch off to a consumption tax that actually promotes sound economics in the general populace.

[red states rule]

And this is yet another good reason for the Fair Tax. No more double hit on investments, no more payroll taxes holding down the employee's wages or keeping employers from hiring more people. Best yet, you get 100% of your paycheck, minus what you pay for your medical and such.

Even if they did "pay" the income tax, the poor would suffer. Businesses would close, lay offs would be all over the place, and the price of goods and services would rise, making so that we're the ones who are actually paying. Better to switch off to a consumption tax that actually promotes sound economics in the general populace.

Meanwhile we have 1% of the earners paying over 40% of the federal income taxes collected - yet the left says they are not paying enough

Then we have the bottom 50% paying less then 3% of the federal income taxes collected -and the left wants to give them more of the money the top 1% earns

Liberal tax policy at its "best"