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If it helps, here's a graph of effective federal tax rate by quintile, all taxes (data from 2007) Jragghen Send a noteboard - 19/09/2012 08:30:37 AM
Link is the clickable one at the bottom.

Includes Federal Income (and offsets), payroll, and excise taxes. As you can see, due to the progressive nature of federal income taxes, up until the top quintile (the bars mark, if I'm not mistaken, Q1, Q2, Q3, Q4, next 10%, next 5%, top 5% - including the top 400, and the top 400 separate), where it plateaus and starts to drop again, because such an insignificant portion of their wealth comes from income as opposed to other means (capital gains, etc).

State and local taxes are usually regressive (numbers from 2007 as well):

http://www.policyshop.net/storage/Demos-Stateandlocaltaxrates.png?__SQUARESPACE_CACHEVERSION=1333977357388

which only tends to exacerbate the problem.

Noteworthy exclusions from these lists: corporate taxes (which depends on whether you consider them to be property of the top tenth of a percent or so, or separate entities), and one-time taxes (estate tax in particular) which are often cited as well, but are rather disingenuous for an annual graph.


So basically, the poor benefit somewhat from the progressive federal tax, as they're intended to, as they have practically no money to spend on necessities. Tax rate increases as your income increases, until you reach a certain threshold at about 6 figures, where (in large part due to the tax cuts on the upper end since Eisenhower, coupled with low long-term capital gains taxes) the effective tax rate starts dropping to where the rich not only have more money to start with, but they're paying less on it than those in lower tiers.
Link
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what does it mean to "pay no federal income tax"? - 18/09/2012 06:30:28 PM 1034 Views
Wrong - 18/09/2012 06:37:07 PM 596 Views
Additional categories - 18/09/2012 06:51:46 PM 698 Views
SS income is very much taxed, my friend - 18/09/2012 06:59:28 PM 574 Views
Re: SS income is very much taxed, my friend - 18/09/2012 07:22:35 PM 562 Views
The wealthy get their income from investments - 18/09/2012 07:33:55 PM 639 Views
ok - 19/09/2012 05:46:49 AM 672 Views
Is that true? - 18/09/2012 06:54:33 PM 612 Views
No, it's not. See my post (you should really have read it first ) *NM* - 18/09/2012 07:00:07 PM 240 Views
No - 18/09/2012 06:56:43 PM 588 Views
Does that mean the correct number is that 27.6%? - 18/09/2012 07:17:46 PM 568 Views
If it helps, here's a graph of effective federal tax rate by quintile, all taxes (data from 2007) - 19/09/2012 08:30:37 AM 790 Views
While we're talking about taxes, am I the only one who doesn't give a rat's ass about Romney's? - 18/09/2012 10:37:12 PM 548 Views
That sort of thing does matter to me - 18/09/2012 10:48:30 PM 525 Views
Ah, yeah, not so much for me. - 18/09/2012 11:16:56 PM 495 Views
You gave that away with your first post - 18/09/2012 11:49:28 PM 488 Views
No way! - 19/09/2012 01:41:04 PM 514 Views
Yuh huh! - 19/09/2012 08:56:01 PM 544 Views
As an outside observer ... - 19/09/2012 01:28:13 AM 567 Views
Re: As an outside observer ... - 19/09/2012 04:45:11 AM 522 Views
the question of legality has already been covered by the offshore accounts though.... - 19/09/2012 05:44:28 AM 545 Views
Different situation then the Birther stuff - 19/09/2012 07:02:09 AM 495 Views
It's a conflict of interest. - 21/09/2012 09:52:58 PM 495 Views
I think you got it wrong: - 19/09/2012 01:52:30 AM 512 Views
+1 - you are correct, moondog screwed the pooch with this post. *NM* - 19/09/2012 05:18:19 AM 226 Views
Easier to read/understand - WSJ data on the 47% - 19/09/2012 05:25:01 AM 661 Views

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