Posted 8 years ago on March 5, 2012, 7:06 a.m. EST by factsrfun
from Phoenix, AZ
This content is user submitted and not an official statement
In the summer of 2000 George W Bush travels the country promising; “to lower the lowest tax rate to 10%”, the lowest tax rate at the time was 15% covering the first $27,050 (S), $45,200 (M), to 10%.
Conservatives often pointed out that the Bush plan gave a 33% reduction to working class (15% to 10%) and only a 11.5% reduction (39.1% to 35%, he was fighting for more here) for those making over $300,000/yr.
When the plan was passed a new tax rate of 10% had been created, but only covering the first $6,000 (S), $12,000 (M), resulting in a 7.2% reduction on the first $27,950 (S), and a 8.6% reduction on first $46,700 (M) both much less than the 11.5% reduction for the wealthy.
This resulted in the number of tax brackets going from 5 to 6. None of the people who had cried for a “flat tax” with fewer tax brackets complained; none of the people who had for years championed the wonderful effects of marginal tax relief complained that most Americans wouldn’t be getting marginal tax relief. None of the “liberals” said anything.
Coming back to that $300,000 level, given that we live in a time where one person stands to pick up 28 billion and the guy that painted his walls is picking up 200 million, 28 billion is a LOT more than 200 million and they’re both a lot more than $300,000 maybe the tax ladder could stand a few more rungs.