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re: In 2015, top 20% of income earners paid 83.9% of all federal income taxes

Posted on 9/28/17 at 11:40 am to
Posted by memphis tiger
Memphis, TN
Member since Feb 2006
20720 posts
Posted on 9/28/17 at 11:40 am to
quote:

As long as we have an income tax everyone making an income should be paying something.



I don't have a problem with people below a certain threshold not paying any income tax.

I do have a problem with those same people MAKING money from various tax credits and the like.
Posted by Machine
Earth
Member since May 2011
6001 posts
Posted on 9/28/17 at 11:41 am to
quote:

I do have a problem with those same people MAKING money from various tax credits and the like.
agreed 100%

unless you consider public welfare programs "making money"
Posted by skrayper
21-0 Asterisk Drive
Member since Nov 2012
30969 posts
Posted on 9/28/17 at 11:43 am to
quote:

I do have a problem with those same people MAKING money from various tax credits and the like.


The problem is deductions vs credits.

You can't make money off of a deduction - only pay less.

A credit treats as if you paid that amount in taxes, so it basically tricks the system into thinking "Hey, you paid an extra $2000 because you made too little money".

OTOH, because of the weird way deductions work, I'm not surprised that's what they did. What they should have done is rework the tax code to make more sense, not keep building onto a broken system.
Posted by Speedy G
Member since Aug 2013
3906 posts
Posted on 9/28/17 at 11:45 am to
Income taxes should apply only above a certain basic survival threshold. They should focus on disposable income, exempting money spent on basic needs.
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