From The Washington Times, Lewis Uhler and Peter Ferrara write The rich pay more than their fair share.
The latest CBO report shows that the top 20% of income earners pay 70% of all federal taxes, while earning just over 50% of before tax income. The top 1% pay 24% of all federal taxes, while earning only 14.6% of before tax income.
By contrast, CBO reports that households in the middle 20%, the real middle class, pay 8.9% of all federal taxes, while earning 14.1% of before tax income. Households in the bottom 20% pay 0.6% of all federal income taxes, while receiving 5.3% of before tax income.
If we look just at federal income taxes, where the policy debate is, the disparity is even worse. The bottom 20% of households pay an income tax rate of -7.5%, CBO reports. The next lowest 20% pays an income tax rate of -1.3%. That means that instead of paying the IRS, like the rest of us, the bottom 40% are paid by the IRS.
The middle 20%, again the real middle class, pays an average income tax rate of just 2.4%, while earning 14% of before-tax income. Obama has been telling them for years the deck is stacked against them. Apparently, he has been pitching to low information voters who don’t know anything about IRS or CBO data. Or maybe we got a low information President.