Dec 10, 2013 0
From Investor’s Business Daily, How Much Wealth Distribution is Enough?
The CBO study breaks down the country by income into five equal groups, or quintiles. It found the top 40% paid more than 100% of all the income taxes, while the bottom 40% had a negative income tax. These families got more money through various refundable tax credits, on average, than they paid in income taxes.
Even when you include payroll and other federal taxes, the poorest group paid just 0.4% of all federal taxes, while the wealthiest paid 70%.
And this doesn’t include transfer programs like food stamps, disability, welfare, Medicaid, Medicare and Social Security. These too are heavily tilted to the poor.
All together, the CBO found that families in the lowest income group earned an average of $8,100 on their own. But they received an average of $22,700 through federal transfer programs, net of taxes. In other words, the federal government more than tripled their income.
The next income group netted more than $12,000, on average, from government — a 41% boost to income.
Read More At Investor’s Business Daily: http://news.investors.com/ibd-editorials-obama-care/121013-682454-government-becomes-a-massive-wealth-transfer-engine.htm#ixzz2n7Z8mPe1
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