Is raising the taxes of the wealthy beneficial for our citizens in America? Should the wealthy have to pay more for taxes? The U.S. President is unessentially trying to raise the taxes on the wealthy. Doing this is not beneficial and is an unnecessary action for the President to propose. Many of President Obama's proposals to raise taxes on the rich have been revealed by the The White House and they will be in his 2016 budget. He plans to increase investment taxes and get rid of the "trust fund loophole" in the estate tax. Since 2009, every one of Obama's budgets have called for higher taxes on the rich. So what are taxes? The colonial protest against the British taxation policy in the 1760s, leading to the American Revolution, began the …show more content…
Tax brackets have also ben announced. Single tax payers making $9,225 or less pay ten percent of taxable income. Single tax payers making $413,201 or more pay $119,996.25 plus thirty-nine point six percent of the amount of taxable income over $413,200. Today the United States federal debt has risen to $18 trillion and the total revenue is only $6 trillion. In the 2014 federal budget $3,504 billion was spent, while there was only $3,021 billion in total revenue. According to Joe Messerli, writer for balancedpolitics.org, the top 1 percent of earners pay about 38 percent of total federal income taxes; the top 10 percent of earners pay about 70 percent of total tax revenues; the top 50 percent of earners pay about 98 percent of total tax revenues; while 48 percent of Americans pay zero federal income tax. Raising taxes on the rich is believed to help get rid of the United States federal debt. With all the money being brought in, we will be able to have a surplus after paying for necesssities. That surplus amount of money would go towards paying off the debt. Getting rid of this debt is very important because it could have the pottential to topple the U.S. and world economy. If the economy of the U.S. Collapses from its debt burden, so does every other economy in the
To understand this compromise, there needs to be a basic understanding of the United States current tax code, more specifically in this situation the federal income tax code. The income tax makes up 46 percent of the federal governments three trillion dollar internal revenue, that is 1.38 trillion dollars (.N.p.).
Directly off of the IRS Federal Government website, the 2014 United States Federal Income Tax Rates are as follows. The top one percent for single filing pays $118,118.75 plus thirty-nine point six percent on taxable income over $406,750. The top one percent for married filing jointly pays $127,962.50 plus thirty-nine point six percent on taxable income over $457,600. The top one percent for married filing separately pays $63,981.25 plus thirty-nine point six percent on taxable income over $228,800. The top one percent for head of household filing pays $123,424.00 plus thirty-nine point six percent on taxable income over $432,200. (1)
One person may see that the increase taxation on the poor and the decrease taxes on the wealthy is not an issue because the wealthy pay a lot of taxes already. However, many people don’t realize the fact that, yes, the wealthy are paying a lot of taxes because they make more money, but they can afford to pay more. Recently, in a CNN article, more than forty millionaires want their taxes to increase, which proves the fact that the wealthy have plenty of money to give back to the community. In addition, their just going to keep getting wealthier and wealthier by the
They have many more things in life going for them that makes their life easier in a lot of ways. These elite ultra rich individuals should be known as the .01%. Everyone agrees it is negative when such few people have such a large control of the wealth. However, they are at another advantage because if we tax them they can take their profit to other countries to better their assets. All of these advantages relate to the bigger picture of one’s socioeconomic status and how influences their success. In order to solve this problem once and for all we must make it easier to move up and down financially by extending opportunity and making the American dream, more than a dream. We can do this by relieving the tax strain on the middle class to help them afford job growth and expansion of their businesses. Furthermore, they will spend more money strengthening and growing our country’s economy. Just like the super wealthy’s investments, our investment in capitalism will take time to
Aaron Hill from Education Portal suggests “ A progressive tax system really acts as a tool for redistributing income from the upper class to the lower and middle class. Those individuals who earn more pay more into the federal government. This helps keeps the income gap from growing wider between the rich and the poor.” Although this is what the government claims most of the money is just recirculated for the federal government to use as it’s own
When George Washington was elected president, even though he was reluctant, he worked hard to ensure peace in the nation. Washington and his Cabinet knew that taxes were important, and the men were very cautious when passing them. The government was new, and could be overthrown just like the colonists did in the Revolutionary War. Also, the French Revolution was occurring, and Cabinet members didn’t want their government to be criticized to the point of rebellion and violence. Washington and his Cabinet were careful, passing just the Excise Tax on luxury items. The men knew the danger of taxes, but today, that notion has seemed to be pushed aside. The taxes in America are high, and just getting higher, much to the disgust and anger of Americans.
As our deficits continue to rise, our government should focus on ways to increase revenue and reduce the national debt. According to the US Debt Clock, if the U.S economy were to suddenly crash, each citizen would owe $202,835. That is more than the average citizen were to makes in 4.4 years. In 2014, a wage survey concluded that the national average wage per citizen was $46,481.52 (Social Security). If the United States continues to ignore the debt that is lingering, the countries that we owe money to could cut us off from trade. If this were to occur, not only would it hurt our economy, but we may end up in another great depression. China, Japan and Brazil are just a few countries that the government is in debt to. Even though there are other areas of concern such as military, education, and social security that the government needs to allocate spend to, reducing the national debt is what our government officials should be their primary expenditure considering how large our debt has gotten to.
In a progressive system of taxation, there is a greater portion of personal income that gets taxed at certain income levels. Someone making $25k per year, for example, may have a 10% tax rate on this income. Someone earning $50k per year would pay 10% taxes on the first $25k they earned, but then 15% on the remainder of the amount. In the United States, the top tax rate typically hovers around 35%.
The United States offers citizens benefit programs at every level of government to help with life’s hardships, and a considerable number of people participate. A variety of benefits are available for all Americans and some non-citizens who are in need of aid. Many Americans are aware that these programs exist, but may not be informed about how many people receive assistance, what kind of benefits are available, or who garners government relief (Welfare Info.).
With the federal taxes lowered, everyone gains. We see an increase in pay, which is desperately needed in today’s economy. We see an increase in the federal revenue funds. We see the national debt being lowered. We even see the benefits towards other systems such as the increase of trade and lowered prices in the U.S. in turn giving us more to spend and repeat the cycle. These are the reasons why our taxes should be lowered.
According to the Congressional Budget Office (CBO), in 2006, the top 20 percent of income earners paid almost 70 percent of all federal taxes. "There's been a huge myth created that the rich aren't paying anything, the rich pay a much higher rate than the poor” says William McBride, the Tax Foundation's chief economist (Sanandaji et al). The boom of the 1990’s was in fact not caused by Clinton’s idea to increase taxes on the top percent of American’s , but led by outside sources such as; massive reduction in military spending, the fall of the former Soviet Union, advancement in technology and manufacturing ultimately making workers more efficient, decline in oil costs, and no major wars. Many people interoperate Clinton’s high tax policy as finally making the wealthy pay their fair share and creating a more stable middle class. However, Clinton cannot be given full credit for this economic boom, and in fact many ignore the long term effects of his policy. America is built on a equality and ambition that should not be restrained by tax codes. Taxes should not be raised on the wealthy because the wealthy provide a majority of employment, they can invest their saving from taxes elsewhere, and they entitled to what they’ve earned ("Should the Wealthiest 1%”).
Have you ever wondered how some athletes have gotten so good at a certain sport? Have you ever thought about what they did in order for them to get this good? For some the answer is simple; workout and train. But for others the answer is different; the use of performance enhancing drugs such as steroids. There are some people that argue that steroids should be legalized and allowed in professional sports. Other people argue that steroids should not be allowed. Today I am going to state my opinion and justify my reason. Steroids should not be allowed in professional sports because it can be very dangerous to the athlete’s health, it is a way to gain and un-fair advantage and it can be dangerous in both social and physical aspects.
Whether the government should impose a tax on employers to provide workers with benefits such as unemployment insurance or mandate employers to provide workers with benefits, which are normally benefits such as health insurance or workers compensation will ultimately depend on how much their employees value the benefit. Mandated benefits are those benefits that are protected by federal law. Firms are liable to make these benefits available to their employees and failure to do so will result in severe penalties. Payroll tax is relatively different from mandated benefits for the reason that payroll taxes are imposed on the wage of employees, which are either paid by the workers or the firm. When analyzing to see how successful a mandated
What is the federal budget? The federal budget is the yearly plan for how the US government will spend its money. After analyzing the federal budget, it was evident that the money was dispersed into three different clusters; the Big Five, the Middle Five, and the Little Guys. Although at first glance, the money may seem to be being evenly dispersed throughout the three, when taking a deeper look, there is clearly a fine line between what the government needs and what the government wants. The real question is; is the United States distributing its money correctly? In my opinion, after much research, the government could do a better job with the way it allocates its money. In each of the three budget clusters, the U.S. government should make
Tax cuts are only benefiting the richest people, and will widen the inequality gap between the rich and the poor. A recent report from the Congressional Research Service states, “as the top tax rates a...