Quote:
Originally Posted by BeanCounter
Okay Steve let's talk tax breaks. If a person pays a 50% rate and gets a 10% reduction then he gets 5% less taxes. If a person only pays 16% in taxes then he would get a 1.6% reduction. Another case of the old adage that figures lie and liars figure.
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Oh, yes, lets...
If a person in the 35% tax bracket gets a 10% reduction they will pay 3.5 % less taxes. A person in the 33 and 28% brackets will pay 3.3 and 2.8% less. So how does that turn into a 2% cut for me and a 6% cut for Bill Gates?
And we all pay SS taxes (6.2%) up to $95K or so. If I am in the 33% bracket I may actually pay a higher % of my income in taxes than somebody in the 35% bracket.
Steve