Social Security

[frawin]

I understand this point of view, however that does not take into account that no matter what condition the economy is in this industry is going to profit on a finite product that is required for the well being of this nation. However the previous conversation had nothing to do with windfall, but income taxes and profits for the first quarter of this year. I am certainly no expert and do not pretend to be one, however I do read and try to be informed. I am certainly astounded that John McCain wants to balance the budget by placing the burden on middle class and seniors and continuing to bolster industrys with tax dollars whilst they are making record profits.

Show me one place where John McCain said he was going place the burden on Seniors and Middle Class, not some made up interpretation but where he plainly said that. Seniors and the middle class have never carried the tax burden and I doubt if they ever will, and I can tell you they don't now,.

[sixdogsmom]

Tax system is fair; wealthy pay bulk of taxes
Q: Wall Street executives are making millions, paying tax rates of 15%, while the average guy is paying 30% in taxes. Is this system fair?
A: Everybody's paying taxes, and wealth creates wealth. A vibrant economy creates wealth. Revenues are at an all-time high.

Q: So you're saying the system is fair?

A: Sure it's fair. The bulk of the taxes are paid by wealthy people. Should we reform our tax code? Absolutely we should fix our tax code, and we should fix it immediately.

Source: 2007 Republican debate in Dearborn, Michigan Oct 9, 2007

[srkruzich]

Tax system is fair; wealthy pay bulk of taxes
Q: Wall Street executives are making millions, paying tax rates of 15%, while the average guy is paying 30% in taxes. Is this system fair?
A: Everybody's paying taxes, and wealth creates wealth. A vibrant economy creates wealth. Revenues are at an all-time high.

Q: So you're saying the system is fair?

A: Sure it's fair. The bulk of the taxes are paid by wealthy people. Should we reform our tax code? Absolutely we should fix our tax code, and we should fix it immediately.

Source: 2007 Republican debate in Dearborn, Michigan Oct 9, 2007

Actually the ONLY fair tax system would be a national sales tax and eliminate all income taxes period.  What you make is what you take home. then if you buy something, pay the sales tax.  This has been shown to not even raise the prices of things if it were to go into effect.  The imbedded taxes would disappear and the increase in sales tax would take the place of the imbedded tax and more revenue would be raised as a result. 

John linder and neal boortz put out a awesome book on it.  just think of all the money that could be saved if we eliminated the IRS.

[Wilma]

Taken directly from the 2007 tax charts.

Married filing jointly:

taxable income-------20,000  tax=11%
                            30,000  tax=12%
                           100,000 tax= 18%

over $349,700  taxable income the tax = 35%
                However, at this amount the tax can be reduced by $27,794.00 which results in a tax rate of 27%.

This seems to be the top rate for individual income tax.  The allowed reduction is the same for any amount over the 349,700.00 so for larger amounts the percentage would go up.  I hope I am right about this.  My mind doesn't comprehend amounts of that much.

[pam]

All arguments about oil companies aside..... I watched a report on the CBS news last night about 65% of foreign companies not paying taxes,I get that because giving them tax breaks is how we get them to do business here, most countries do that. But they also said about 62% of american companies don't pay taxes. Does anybody know anything about this?

[srkruzich]

All arguments about oil companies aside..... I watched a report on the CBS news last night about 65% of foreign companies not paying taxes,I get that because giving them tax breaks is how we get them to do business here, most countries do that. But they also said about 62% of american companies don't pay taxes. Does anybody know anything about this?

Corporations don't pay taxes.  Most of the corps are small corps in which are set up to protect assets.  The corp spends all the money on equipment expansion ect and the profit is salary to the owner.  that is taxed as income for the owner.

the fastest way to build this country and economy is if we invited businesses to be opened up by outside countries and let them operate tax free.  IF that were to happen you couldn't fill all the good paying jobs that would become available.

[pam]

Thanx

[DanCookson]

All arguments about oil companies aside..... I watched a report on the CBS news last night about 65% of foreign companies not paying taxes,I get that because giving them tax breaks is how we get them to do business here, most countries do that. But they also said about 62% of american companies don't pay taxes. Does anybody know anything about this?

Corporations don't pay taxes.

Sorry, but corporations do pay taxes.  We pay corporate income taxes, state income taxes, and matching Federal and State withholding taxes.  At least my corporation does.

[Wilma]

That's right, Dan.  When I was working income taxes, we did taxes for corporations.  I didn't personally.  We had a CPA come in to do the corporations.

[W. Gray]

The highest federal income tax bracket for married couples occurred in 1952 when 92 percent was due for anything earned over $400,000.

The lowest was in 1913 when seven percent was due for amounts earned over $500,000.

As late as 2002, the top tax rate was 38.6 for taxable income over 307,050.

In 1980, the top tax rate was 70 percent.

In 1990, 28 percent.

In 2000, 39.6.

In recent years, the marginal rate has had a tendency to go up when there is a Democrat president and down when a Republican.

When married couples face any tax rate, they do exactly as corporations or proprietors do. They make every possible effort to legally maximize their deductions so their total tax bill will be lower. It would be foolish for them to do otherwise.

http://www.truthandpolitics.org/top-rates.php

The Alternative Minimum Tax (AMT) does not have anything to do with tax rates. When AMT for individuals started, it was aimed at a handful of people who owed no income tax. A Similar AMT was started for corporations. AMT decreases the mount of deductions one can take when income gets to a certain level. AMT is not indexed to inflation and it hits more and more people each year. Under AMT, one might have a higher taxable income and a higher tax payment but the tax rates remain the same.