There is absolutely no reason why effective tax reform should not proceed, especially after this report. It is very obvious where the Middle Class finds their tax relief and where they don't.
Michael Cohen
...The report, (click here) which was released Wednesday, examined exclusions from taxable income, such as tax breaks for employer-sponsored health insurance, net pension contributions and earnings, capital gains on assets transferred at death, and a portion of Social Security and Railroad Retirement benefits. Other top tax expenditures included itemized deduction such as certain taxes paid to state and local governments, mortgage interest payments, and charitable contributions. The other three tax expenditures were preferential tax rates on capital gains and dividends; as well as two refundable tax credits: the Earned Income Tax Credit and the Child Tax Credit.
The report found that in calendar year 2013, more than half of the combined benefits of those tax expenditures will accrue to households with income in the highest quintile (or one-fifth) of the population, with an estimated 17 percent going to households in the top 1 percent of the population. In contrast, 13 percent of those tax expenditures will accrue to households in the middle quintile, and only 8 percent will accrue to households in the lowest quintile....
The graph is found in the CBO reporting of their findings. (click here) There is only one thing the Rich and the Poor of the USA share; their after tax income percentages.
The graph is found in the CBO reporting of their findings. (click here) There is only one thing the Rich and the Poor of the USA share; their after tax income percentages.
