CNN Money says "45% Don't Owe U.S. Income Tax" for 2010

By
Real Estate Agent

"45% of taxpayers won't pay any taxes this year either because they don't make enough money or they have claimed enough deductions ... on the other hand, 99.7% of people making over 1 million will pay taxes; a few super-wealthy will not pay taxes due to elaborate tax planning."

Check out the article which breaks down those who don't owe taxes by income bracket. 68% of those making less than 50,000 won't pay any income tax.  CNN Money article, 45% Don't Owe US Income Tax

"The official tax rate for corporations is 35%, but IRS says most companies pay on average 27.5% and some pay less ... mostly due to the many tax breaks given by our government ... President Obama wants to close the tax loops, but this will likely require a major tax system overhaul."

Without enough information about how the system really works and how cutting tax breaks will really affect the economy (which none of us is likely to know or be able to ascertain), it's difficult to determine a fair and workable solution. Unfortunately, we are trusting politicians of all political parties who are responsible for the current economic problems in the first place, to come up with solutions - not likely to be successful.

On the surface, it seems that a standard tax rate for everyone might be useful. We could also eliminate IRS tax audits (and nasty auditors) which would likely save the government money and might do a lot to boost the economy. This is just one area that the government needs to fix in order to resolve the national debt crisis.

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Topic:
ActiveRain Community
Groups:
Florida Realtor® Network
Realtors®
Tea Party
Tags:
tallahassee realtor
us income tax
economy
debt

Comments 10 New Comment

Rainer
189,754
Virginia Cheezum
F. C. Tucker Company

I am a HUGE fan of the flat tax idea.  Everyone pays the same proportional to what they make.  Simple, fair, and clear.  But it won't happen, I'm afraid. 

June 13, 2011 10:06 AM
Rainmaker
1,056,463
Wallace S. Gibson, CPM
LandlordWhisperer
Gibson Management Group, Ltd.

This is not surprising to me....and a GREAT reason for Bachmann to enter the GOP 2012 presidential discussions

June 15, 2011 06:52 AM
Rainmaker
648,907
Rob Arnold
Metro Orlando Full Service - Investor Friendly & Foreclosure Realtor
Sand Dollar Realty Group, Inc.

Pretty ridiculous.  Everyone needs to pay their fair share even if that amount is only $1000 or so. 

June 26, 2011 10:56 AM
Rainer
126,403
Ron Brown
MLO-270845 VA/FHA Specialist, Alpine Mortgage Planning NMLS 81395
Division of Pinnacle Capital Mortgage Corp

Unfortunately, Americans are bad at math, and have very short attention spans.  If we are ever going to get a flat tax, it will begin in States with Initiative rights for the people to introduce it.

June 29, 2011 05:02 PM
Rainmaker
509,970
Than Maynard
Broker - Licensed to List & Sell - 405-990-8862
Coldwell Banker Heart of Oklahoma

Soon we will hit that point where more than 50% of the population doesn't pay taxes and then the tipping point is crossed and we are doomed.

July 18, 2011 11:32 AM
Rainmaker
160,070

Colleen McConnell

Tallahassee Retired Realtor
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