[Newsbot]

Title: US Tax bills in 2009 at lowest level since 1950
Category: Political
Posted By: DerbyX
Date: 2010-05-11 03:15:25

[andyt]

Keep digging, USA. You'll hit bottom eventually.

[Brenda]

$1:

Federal, state and local taxes — including income, property, sales and other taxes — consumed 9.2% of all personal income in 2009, the lowest rate since 1950, the Bureau of Economic Analysis reports. That rate is far below the historic average of 12% for the last half-century. The overall tax burden hit bottom in December at 8.8.% of income before rising slightly in the first three months of 2010.

Wait a minute. Does this mean that 90% of all you make is for you personally to spend??

[BartSimpson]

I wish I could get my hands on the moron who wrote this and throttle him.

Tax revenues are down because all of those unemployed people have no income to pay taxes on, they lost their homes so they pay no property taxes, and then since they have no money they don't buy anything and they therefore pay no sales taxes.

But this %$#$@#&%!! thing reads like we should be asking for higher taxes on the remainder of us who still have jobs and homes! I REALLY hate the liberal pukes who always cheerlead for higher taxes no matter what the economy looks like.

I will say that on property taxes the one thing that needs to happen is that the banks who foreclose on people should have to pay property taxes just like anyone else. But, for some reason, the banks don't have to pay property taxes on the homes they seize and that is just wrong.

[andyt]

BartSimpson BartSimpson:

But this %$#$@#&%!! thing reads like we should be asking for higher taxes on the remainder of us who still have jobs and homes! I REALLY hate the liberal pukes who always cheerlead for higher taxes no matter what the economy looks like.

Well thanks a lot for the compliment Bart. The US was running huge deficits during the boom times, because the mantra was cut taxes - that sure worked out well. Good luck trying to cut the large govt programs - the same people going to Teabagger rallies are the ones protesting those cuts. So that means taxes have to raised to pay for them, or more likely, cuts have to be made and taxes raised. But it looks like the US public just hasn't had enough of a spanking yet, they're not ready to face reality. If the Greek situation gets out of hand, as many people worry, and has global repercussions, maybe a second spanking will wake them up. Maybe not, and they'll continue fiddling as the waters close over the ship of state.

$1:

World stock markets fall as rally after EU debt bailout fizzles out

http://ca.news.yahoo.com/s/capress/100511/business/world_markets

[martin14]

BartSimpson BartSimpson:

I wish I could get my hands on the moron who wrote this and throttle him.

Tax revenues are down because all of those unemployed people have no income to pay taxes on, they lost their homes so they pay no property taxes, and then since they have no money they don't buy anything and they therefore pay no sales taxes.

I was thinking along these lines, the rates have dropped due to the
job losses, foreclosures, and drops in spending.

Lowers the rates, and lowers the absolute value of money the government takes in.

[BartSimpson]

Frankly, I really do want the whole mess to collapse instead of seeing the bankers and the traders on Wall Street to continue to make everyone dance for them.

[andyt]

BartSimpson BartSimpson:

Frankly, I really do want the whole mess to collapse instead of seeing the bankers and the traders on Wall Street to continue to make everyone dance for them.

Unless there's a revolution, they'll always make out better than you and me. If there is a revolution, a lot of them will just weasel their way in with the powers that be - everybody needs some shysters around. Same as with the Nazi rocket scientists.

[andyt]

BTW - your and Martins argument seems to be off base:

$1:

Federal, state and local taxes — including income, property, sales and other taxes — consumed 9.2% of all personal income in 2009, the lowest rate since 1950, the Bureau of Economic Analysis reports. That rate is far below the historic average of 12% for the last half-century. The overall tax burden hit bottom in December at 8.8.% of income before rising slightly in the first three months of 2010.

Yep, the govt might be collecting less taxes because of the recession, but incomes went down too. He's talking about the tax rate - ie the total amount of taxes collected on all income. Some of that is undoubtedly that some people were pushed into lower tax brackets, but a rate of 9% seems pretty low to me.

[martin14]

yes, Im sure lots (not some) were dropped into lower brackets.

And people with no job pay zero tax.

Lose your house, property tax zero.




And I really wonder how much spending has dropped in the US,
that would be a more interesting number to look at.

Retail and other consumption taxes.

[andyt]

martin14 martin14:

yes, Im sure lots (not some) were dropped into lower brackets.

And people with no job pay zero tax.

Lose your house, property tax zero.




And I really wonder how much spending has dropped in the US,
that would be a more interesting number to look at.

Retail and other consumption taxes.

Be that as it may, tax compared to income has dropped, ie people are able to keep more of their money since any time since the '50's. It certainly doesn't give any ammunition to the Teabaggers.

I do wonder if he's including payroll taxes in that figure. Somehow the govt want to pretend those aren't taxes, and they hit the lower income brackets disproportionately.

[martin14]

Andy, you dont get it.

The numbers are lower because people dont have income to pay taxes on.

It also means they arent able to keep more of the money they dont have in the first place.

[andyt]

martin14 martin14:

Andy, you dont get it.

The numbers are lower because people dont have income to pay taxes on.

It also means they arent able to keep more of the money they dont have in the first place.

Well one of us doesn't get it, that's for sure:

$1:

Individual tax rates vary widely based on how much a taxpayer earns, where the person lives and other factors. On average, though, the tax rate paid by all Americans — rich and poor, combined — has fallen 26% since the recession began in 2007. That means a $3,400 annual tax savings for a household paying the average national rate and earning the average national household income of $102,000.

This tax drop has boosted consumer spending and the economy, which grew at a 3.2% annual rate in the first quarter. It also has contributed to the federal debt growing to $8.4 trillion.

Taxes paid have fallen much faster than income in this recession. Personal income fell 2% last year. Taxes paid dropped 23%. The BEA classifies Social Security taxes as insurance payments and excludes them from the tax calculation.

[N_Fiddledog]

There was a survey done of tea partiers. Most are satisfied with the taxes they're paying right now. I forget the percentage, but it was high. What they're worried about is what's coming.

The Bush tax cuts end in January. There are taxes in the health care bill. If the Waxman/Markey cap and trade bill were to make it through the Senate it would lead to the largest tax increase in American history. The Dems are talking about a Value Added Tax - the VAT. You won't see progressives bragging about low taxes next year. They'll be like that singing frog in the old Warner Brothers cartoon that suddenly goes silent when people are watching.

[andyt]

N_Fiddledog N_Fiddledog:

There was a survey done of tea partiers. Most are satisfied with the taxes they're paying right now. I forget the percentage, but it was high. What they're worried about is what's coming.

The Bush tax cuts end in January. There are taxes in the health care bill. If the Waxman/Markey cap and trade bill were to make it through the Senate it would lead to the largest tax increase in American history. The Dems are talking about a Value Added Tax - the VAT. You won't see progressives bragging about low taxes next year. They'll be like that singing frog in the old Warner Brothers cartoon that suddenly goes silent when people are watching.

Well, with 8 trillion in debt, much of it added during the Bush years when things were booming, but spending way outpaced taxes, you bet there will have to be higher taxes. There just aren't enough govt programs to cut unless the govt does get it's hands on people's medicare and social security. Good luck with all that.