T Nation

Tax Rate: You Decide

Out of pure curiosity: What percentage of my income do you think should go to the government in the form of federal income tax? Let’s assume I make $85,000 annually. Conservatives here keep complaining that the government takes too much. Liberals here say it’s just right or could be higher. No one provides a concrete value. All I want is a single number, we can talk about why after we get a good sample.

Somewhere between 15-20%, with no deductions.

it depends on what you want out of government. the more you want government to provide services for the country, and the more you want it protected from internal and external problems, the higher taxes you need.

[quote]joe_r wrote:
it depends on what you want out of government. the more you want government to provide services for the country, and the more you want it protected from internal and external problems, the higher taxes you need.[/quote]

joe_r:

Oh that this were true! The more tax dollars that you pay the larger the bureaucracy grows. More government employees. More inefficiency.

A flat tax of 20% with no loopholes and no deductions should be all anyone is forced to pay.

My thoughts run along similar lines to BostonBarrister in this case. I think there should be a 15%-20% flat tax, with no deductions.

Evidently 13% is just about right for the Kerry’s.

15%

High teens, low twenties - but it also depends on what the government is spending it on.

Or, I’d go lower still on the income tax and diversify the tax take by taxing other things - like economic externalities (pollution).

Don’t I wish it where that low I pay somewhere along the lines of 30-32% with no deductions. I got a bonus check for 2200.00 and I came home with 1200, that hurt

I like the idea of a flat tax or just a sales tax. With the way that things are setup now 10-15%.

Me Solomon Grundy

20% with no deductions is way too high. 10% would be very fair, or maybe 20% allowing some deductions for child care, mortgage interest, charitable contributions, etc.

If everyone including corporations paid a straight 10% across the board, we’d have a surplus in a couple years and start getting rebates back.

[quote]superpimp wrote:
Don’t I wish it where that low I pay somewhere along the lines of 30-32% with no deductions. I got a bonus check for 2200.00 and I came home with 1200, that hurt [/quote]

Self-emplyment tax is a real bitch. If the Gov’t really wanted to give a tax break to the middle class, and the self-employed in particular, they should change the way they tax for Social Security.

Instead of taxing everything between $400.00 and $84,000.00, they should raise the bottom figure to 50k and raise the ceiling to 150-200k.

[quote]superpimp wrote:
Don’t I wish it where that low I pay somewhere along the lines of 30-32% with no deductions. I got a bonus check for 2200.00 and I came home with 1200, that hurt [/quote]

If John Kerry wins you will be thinking back to the good old days when you could take home that $1,200!

[quote]ZEB wrote:
superpimp wrote:
Don’t I wish it where that low I pay somewhere along the lines of 30-32% with no deductions. I got a bonus check for 2200.00 and I came home with 1200, that hurt

If John Kerry wins you will be thinking back to the good old days when you could take home that $1,200![/quote]

Good thing I’m not voting for Kerry then huh?

Zeb, give it a rest already… :stuck_out_tongue:

Anyhow, the question at hand, the personal income tax rate should be 0%. Yep, that was 0%.

I tend to equate 100% income tax with financial slavery. What level of slavery is appropriate? None.

Of course, there are alternative ways to raise taxes that I would favor. Taxing consumption would be better, at least I can control my consumption choices.

[quote]tme wrote:

If everyone including corporations paid a straight 10% across the board, we’d have a surplus in a couple years and start getting rebates back.

[/quote]

Corporations don’t pay taxes. Consumers pay taxes.

Any tax forced from me by threatening my liberty is TOO much. There is no such thing as a fair tax.

[quote]Solomon Grundy wrote:
I like the idea of a flat tax or just a sales tax. With the way that things are setup now 10-15%.

Me Solomon Grundy[/quote]

The sales tax option is my favorite, but a 23% tax like the one proposed is pretty hefty. Add that on to state sales tax and you’d pay 30% extra on every purchase.

I recently read about the possibility that a 3 cent tax on every transaction in the nation could effectively eliminate income tax. Anyone know more about this theory?

vroom:

Give it a rest?

John Kerry is promising a tax hike.

By the way I don’t think a consumption tax is a bad idea…but there are better ideas.

How much do you make that you pay 32-33% in federal income tax? I make ~85k and I pay ~21% right now, and that’s as a single filer. Or were you including social security tax and medicare?

Well gee Zeb, if you have the answers to the worlds problems, why don’t you share them with us? What are those better solutions you speak of? Why are they better? What is wrong with a consumption tax?

All politics and kidding aside, as someone with a good background in economics, I would really like to know.

As for Kerry, he has stated he’d raise taxes for those earning over $200K. There might be a few folks in here that would be affected. Probably not many though.