Analysis finds U.S. tax burden lowest since 1958

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The tax burden facing Americans is lower than it has been in more than 50 years, according to an analysis by USA Today.

Bureau of Economic Analysis data shows that Americans are now paying 23.6 percent of their income to cover federal, state and local taxes. In the 1970s through 1990s, they were paying about 27 percent of their income in taxes.

Taxing at that rate today, USA Today reports, "would mean $500 billion of extra taxes annually today, one-third of the estimated $1.5 trillion federal deficit this year."

The tax burden fell most recently thanks to a cut in Social Security taxes as part of December's budget compromise which saves taxpayers $2,000 per year on $100,000 in income.

Republicans say they will not accept tax increases of any kind to address the massive federal deficit and debt, and they insisted in extending the Bush-era tax cuts for the highest-earners as part of the December budget deal. The budget plan passed by the Republican-led House this year includes further cuts to tax rates for the wealthiest Americans.The national debt stands at 14.334 trillion.

USA Today calculated that a person making $100,000 per year pays $23,600 in taxes today, compared to $28,700 in the year 2000 and $27,300 in 1990.

The analysis comes on the same days as an Associated Press analysis finding that CEO pay is now higher than it was before the recession began in 2008. CEOs at Standard & Poor's 500 companies made an average of $9 million in 2010.

[JJESSEROCK32]

Yea, then when you lose all your money you'll be crying all the way down to the welfare office. this method is safer and helps millions of elderly people.

[livinlikerome]

National Debt is $14 Trillion and Counting...privatize Social Security...allow insurance companies to compete across state lines...REpeal Obamacare...pay cash for most simple doctor visits...have a Major Medical Policy to cover catastrophic care...adopt an attitude of self reliance...don't walk around expecting everyone else to pay for your life...take care of the children you bring into this world...reduce the income tax to 10%...and reduce the size of the Federal Government by 75%...that would be 10% per year for the next 7 years...Go Bachmann!!!!

[livinlikerome]

I mean 10% per year for the next 7.5 years...

[sjc_1]

During Eisenhower, every dollar over $3 million per year was taxed at 91% and corporations paid more than 30% of the federal budget through taxes. Now corporations pay less than 10% and many wealthy people claim their income as capital gains and pay 15%, then we wonder why we run huge deficits.

[RobAla]

The problem that we face is that the outrageously massive spending by the federal government does not match the tax revenue. We must put in place a plan reduce size and scope of the federal government to match revenue. We may have relatively low tax burden, compared to the last 50 years, but we have very high unemployment. We can not afford to force businesses to pay more taxes rather than to high unemployed Americans. We must reduce government.

[pasha128]

Rob the Problem is Republicans made massive cuts in taxes without reducing spending FIRST.

[pasha128]

And then there are the Republ;ian passed Trillion dollar bailout of private businesses, like the Medicare Prescription Drug Entitlement. This was originally passed as deficit spending by a 2003 REPUBLICAN congress. Despite campaigning against spending and especially entitlements as deficit spending the 2011 TEA PARTY REPUBLICANS in HR 1 voted by themselves alone to reverse REAL DEMOCRATIC CUTS (payments for this program) in 2009 / 2010 putting the entire bill for Medicare Prescription Drugs back onto the debt.

[simpleconservative]

Given the fact that 51% of Americans paid no income taxes last year, this entire storyline is intentionally deceiving. What it really tells you is that 49% of Americans who actually do pay income taxes paid nearly twice as much as the baseline of the 1970's. The truth which is hardly captured by this article is that the taxpaying individuals that make up the 49% are paying 49.126 % on average an increase of 22%

[pasha128]

Even small business owners making over $250,000 a year have begun to campaign for the end of the Bush Tax cuts for the rich. Tax cuts do not and have never resulted in an expansion of business. Even these small business owners understand that the viability of there businesses are generally tied to middle calls workers with middle class incomes purchasing form their businesses. As middle class incomes shrink so does the opportunity for any business to expand.

[simpleconservative]

Given the fact that 51% of Americans paid no income taxes last year, this entire storyline is intentionally deceiving. What it really tells you is that 49% of Americans who actually do pay income taxes paid nearly twice as much as the baseline of the 1950's

[reluctantzealot]

I think we should have two tax codes, one for liberals and one for conservatives. We can each vote on what we think we owe and want to pay....

Then everyone will be happy!

[pasha128]

Simpler yet force politicians to generate the necessary revenue to fulfill the spending obligations they pass. Taxes should be legally mandated as at a minimum to equal spending unless the deficit is authorized by a congressional super majority say 60% instead of 50% or there is adrquate cash in a "rainy day" fund. Furthermore taxes cannot be decreased while there is any debt on the books, unless approved by a similar super majority.

[fishguru00]

and yet, 45% of American households pay no income tax...
can you say entitlements!

[jimbom121]

Not income tax...federal tax. They get more in credits than they paid. They still pay state, local, FICA and income tax.

Corporations are included in that figure.

[user000049586849302948603]

That because they're living hand to mouth because of the decline in working class wages, you dolt.

[reluctantzealot]

Let's see... Last year if you made 100,000 a year...

Your tax rate was 28%
Your SS & medicare was 15%
That is 43% right there and it doesn't inclue state and local taxes.

It doesn't include sales taxes.

It doesn't include federal excise taxes, fuel taxes, propety taxes, licences and tags...

It doesn't include phone taxes for the hearing impaired, or tanning bed sin taxes, alchohol taxes, tobacco taxes...

It doesn't inclue business inventory taxes, workers comp taxes...


But tell the idiots they are only paying 23% total and they will believe it.

[realist51]

reread the article there RZ the 23.6 covers the federal state and local taxes which includes all of the above you mentioned so you skewed your figures. and other than that whats your point? don't want the military repubs protecting your back side? call them up and tell them to cut the military offensive spending back to 1958 rates, or pay what is needed to keep the country going. money in money out. and .ss is was only 4% medicare is 1.5 of your income for a total of 5.5% better take a look at your last check stub there homey you'll find that the general tax is about 3 times what you pay for entitlements. as far as people not paying in any sure they do however due to the fact that there are not making an income that is greater than what they need to survive on in why they get monies paid in back. so they get what they paid in back so what more do you want. want them to pay more then maybe business's should be paying a better general wage instead of an average of 9 million a year to and under worked CEO every million dollars is equal to 50-20,000 a year jobs or 20 50,000 an year average income job, where more people would be paying in more tax revenues.

[reluctantzealot]

Why would I re-read an article that is wrong?

Can you not at the numbers up yourself?

Sheesh.... mindless drones really irk me when they simply take anything handed to them at face value and refuse to even check it out for themselves.

[reluctantzealot]

Obama paid SS taxes on $106 thousand of his $1.5 MILLION dollars in income last year. For the average worker on main street SS is 10-12% of their total income, no if ands or butts about it.

Yet rich people like Obama pay less than 1%, and even richer people pay less that .000001 % of theirs.

Meanwhile, people like Joe Biden, gets a couple hundred thousand in salary & other earnings AND STILL GETS A SS CHECK EVERY MONTH.

Just look at the top two people in the country and you will realize just how unfair SS taxes are. SS is the most regressive tax in the world. Yet no one realizes it because it's the biggest government scam in the world.

[us_1776]

Moron, do you even understand that SS is a floor. A safety net. It's to prevent people from ending up in a cardboard box over a steam vent.

It's not a relative tax on all income, only the first 106 thousand of income.

And it's an earned benefit. So someone like Joe Biden or any of your older neighbors have a full right to draw their benefits after they reach retirement age - regardless of whether they are still working (and still paying taxes by the way).


.

[reluctantzealot]

So.. the idea is that stupid people like you can't save your own money for your own retirement and you have to have the government take it from you and invest it for you and then dole it back out to you based on political whims and even though energy and food prices are going up they tell you you don't get a COLA raise unless you vote for them.....

Whereas.. smart people like Obama and Soros, get to keep their money and invest it in places that will actually increase the value of their savings and they don't have to rely on the government to dole their money back out to them because they are elite...

maybe YOU need someone to save your money by force of law, and maybe you don't care that your money has been spent instead of invested and made to grow....

But some of us care.

SS is a regressive entittlement program that hurts the poor and the rich simply laugh at the idiots losing 12% of their income every day!!!