Raising taxes should be hard

[NorthernHawkeye]

Draft constitutional amendment would restrict income tax increases • Iowa Capital Dispatch

Democrats said the amendment could put a larger tax burden on low- and middle-income Iowans, as it would be easier to increase sales taxes.

iowacapitaldispatch.com

 

[Bonerfarts]

Draft constitutional amendment would restrict income tax increases • Iowa Capital Dispatch

Democrats said the amendment could put a larger tax burden on low- and middle-income Iowans, as it would be easier to increase sales taxes.

iowacapitaldispatch.com

Cutting taxes for the rich while we run up huge deficits should be hard also, but you don't see me creating threads on it.

 

[Finance85]

Cutting taxes for the rich while we run up huge deficits should be hard also, but you don't see me creating threads on it.

I'd just like to point out that it's hard to cut taxes for people who don't pay them in the first place.

 

[Hawk_4shur]

When I started my career as a CPA in 1977, the top Federal tax rate was 70%. It kicked-in at $203,200 (MFJ). The National debt was $699 billion and about 33% of GDP.

In 1986, it was 50% kicking in at $175,200.

In 1995, it was 39.6$ starting at $256,000

In 2005, it was 35% starting at $326,450

In 2015, it was 39.6& starting at $464,851

Today it is 37% starting at $731,200. Today the National Debt is $33 trillion, and it's 121% of GDP.

After careful consideration, I'd have to say that our tax system isn't working.

Historical Federal Individual Income Tax Rates & Brackets, 1862-2021

How do current federal individual income tax rates and brackets compare historically?

taxfoundation.org

 

[TheCainer]

I'd just like to point out that it's hard to cut taxes for people who don't pay them in the first place.

Would that be the same people who pay SS and Medicare taxes, sales taxes, excise taxes, gas taxes, property taxes, etc...? Or, do you have someone else in mind?

 

[seminole97]

When I started my career as a CPA in 1977, the top Federal tax rate was 70%.
…
After careful consideration, I'd have to say that our tax system isn't working.

In 1977 Federal receipts were 17.6% of GDP and outlays were 20.2%.

In 2022 receipts were 19.6% of GDP and outlays were 25.1%.

After careful consideration, I’d have to say our appropriations system isn’t working.

 

[Jerome Silberman]

I'd just like to point out that it's hard to cut taxes for people who don't pay them in the first place.

 

[seminole97]

Would that be the same people who pay SS and Medicare taxes, sales taxes, excise taxes, gas taxes, property taxes, etc...? Or, do you have someone else in mind?

So now you want to cut the funding for SS and Medicare?
Monster!

 

[Hawk_4shur]

In 1977 Federal receipts were 17.6% of GDP and outlays were 20.2%.

In 2022 receipts were 19.6% of GDP and outlays were 25.1%.

After careful consideration, I’d have to say our appropriations system isn’t working.

Nice. Spending exceeded revenue by 14.7% in 1977, and by 28% in 2022.

I'm no economist, but these facts just don't look to good.

 

[seminole97]

Nice. Spending exceeded revenue by 14.7% in 1977, and by 28% in 2022.

I'm no economist, but these facts just don't look to good.

Look at this table for the number of times in our history that we’ve collected 20% of GDP in federal taxes.
Then realize that the Biden admin predicts no less than 24% of GDP in spending each year for the next decade.

 

[Whiskeydeltadeltatango]

Look at this table for the number of times in our history that we’ve collected 20% of GDP in federal taxes.
Then realize that the Biden admin predicts no less than 24% of GDP in spending each year for the next decade.

Why don't you explain it to me like I'm 5.gif

 

[seminole97]

Why don't you explain it to me like I'm 5.gif

 

[Whiskeydeltadeltatango]

Makes sense.