Tuesday, April 19, 2011

45% Pay No Income Taxes

 With all of the debate in Washington about tax policy, we are looking at a fiscal cliff. With almost half of our federal budget this year being deficit spending, it's important to take a look at the factors that have gotten us to this point.

First-- should those that earn income and file tax returns have to pay income tax?

Well, 45% of the country is not right now, near a record high. As successive administrations keep lowering taxes for the lowest brackets-- we now have this dilemma.

There are so many breaks that 45 percent of U.S. households will pay no federal income tax for 2010, according to estimates by the Tax Policy Center, a Washington think tank.

"It's the fact that we are using the tax code both to collect revenue, which is its primary purpose, and to deliver these spending benefits that we run into the situation where so many people are paying no taxes," said Roberton Williams, a senior fellow at the center, which generated the estimate of people who pay no income taxes.


Please bookmark!

No comments:

Post a Comment