New York Times: “The federal income tax increases over the next three years have led to lots of grumbling. But for all the back and forth about the percentages, something has been overlooked: what do these increases mean in real numbers? . . . high earners will be paying 17 to 19 percent more in taxes by 2013 than this year. But these are just federal taxes. That does not include state taxes or Social Security contributions, or property and sales taxes.”
Too bad Congress isn’t paying attention. A new poll by Rasmussen has some shocking results on what people think about taxes. “Eighty-one percent (81%) of Republicans believe the nation is overtaxed. So do 73% of voters not affiliated with either major party. Democrats are evenly divided on the question.”
The Washington Post has an article entitled “5 Myths About Your Taxes,” which according to the author are:
- The poorest and the richest Americans pay no taxes.
- Americans are overtaxed
- Higher taxes could eliminate the federal deficit.
- Most people’s tax returns are way too complicated.
- You should aim for a big tax refund.
The following story is proof that we cannot escape paying taxes by dying. AolNews: “It could easily have been the plot for a ‘Sanford and Son’ episode: a bizarre money-making scheme cooked up by a well-meaning but possibly misguided man that seems destined to go comically awry. But in this real-life case, it’s a county official in Las Vegas who is trying to put the life story of late ‘Sanford’ star Redd Foxx on the block to resolve mammoth debt the actor left behind. Foxx owed more the $3.6 million in taxes to the IRS when he died 19 years ago.”
Reuters: “The Obama administration’s plan to cut more than $1 trillion from the deficit over the next decade relies heavily on so-called backdoor tax increases that will result in a bigger tax bill for middle-class families. In the 2010 budget tabled by President Barack Obama on Monday, the White House wants to let billions of dollars in tax breaks expire by the end of the year — effectively a tax hike by stealth. . . . Millions of middle-class households already may be facing higher taxes in 2010 because Congress has failed to extend tax breaks that expired on January 1.”
Update on why the above link to a Reuters story no longer works: Presidential censorship – we should all be very worried when government can suppress the media. “Obama administration aides appealed to the Reuters White House reporting team to kill a story by another reporter of the news service that suggested the president’s new budget blueprint included “backdoor” tax hikes. A White House official told TPMDC the Reuters story was “falsely stating that the President’s budget raises taxes for middle class families, when in fact the opposite is true.” The official said when the administration saw the story, published yesterday afternoon, they contacted one of the Reuters White House correspondents.” See also “Reality Check on Taxes.”