Trade Wars

[dlaloum]

At 90% tax who is going to work?

Marginal and progressive - once you get beyond a certain level of income, additional does nothing to enhance your lifestyle - in fact the main motivation for people like Bezos and Musk isn't money, its power.
High marginal tax rates encourages reinvestment, rather than profit issueing and squirelling away ....

The marginal rates for plebeians like most of us, would be no different, and still provides plentiful incentives to improve - perhaps you should read up on what taxes were like in the 1950's and 1960's... when the "american dream" was at its peak - and so were marginal tax rates!

 

[highfigh]

At 90% tax who is going to work?

Are you familiar with the time when the Rolling Stone's recorded 'Exile On Main Street', Clapton spent a lot of time in the Virgin Islands, Florida, etc and David Bowie & others worked outside of England? That was because they were on 'Tax Exile'.

Here's one link-

UK Rock Stars Who Dodge Taxes Being Outed | Alan Cross

The UK has a long history of gouging rock stars for taxes. Take the case of the Rolling Stones, who moved to France in order to escape an 83% tax rate. The result was Exile on Mainstreet. Bowie moved to Switzerland for much the same reason. Members of Pink Floyd all left the UK for a year...

www.ajournalofmusicalthings.com

 

[highfigh]

Marginal and progressive - once you get beyond a certain level of income, additional does nothing to enhance your lifestyle - in fact the main motivation for people like Bezos and Musk isn't money, its power.
High marginal tax rates encourages reinvestment, rather than profit issueing and squirelling away ....

The marginal rates for plebeians like most of us, would be no different, and still provides plentiful incentives to improve - perhaps you should read up on what taxes were like in the 1950's and 1960's... when the "american dream" was at its peak - and so were marginal tax rates!

The US was still paying for WWII, as were many European countries.

 

[Trell]

The US was still paying for WWII, as were many European countries.

So? I think you missed his point completely.

 

[Dude#1279435]

Are you familiar with the time when the Rolling Stone's recorded 'Exile On Main Street', Clapton spent a lot of time in the Virgin Islands, Florida, etc and David Bowie & others worked outside of England? That was because they were on 'Tax Exile'.

Here's one link-

UK Rock Stars Who Dodge Taxes Being Outed | Alan Cross

The UK has a long history of gouging rock stars for taxes. Take the case of the Rolling Stones, who moved to France in order to escape an 83% tax rate. The result was Exile on Mainstreet. Bowie moved to Switzerland for much the same reason. Members of Pink Floyd all left the UK for a year...

www.ajournalofmusicalthings.com

No, but not surprising either.

 

[mtrycrafts]

At 90% tax who is going to work?

Well, that is not 90% of the total income. If you google income tax rate history you will discover that around 1990 the Marginal tax rate was 92%. No one quit working, certainly not the rich that was affected and don't think anyone was in that bracket back then.
Apparently, it topped 94% in 1944.

I had a link to an interactive table that showed around 90+% around the 1990s but cannot find it now.

Tried to find that graph but not finding it so maybe it wasn't around 1990.

 

[Dude#1279435]

Well, that is not 90% of the total income. If you google income tax rate history you will discover that around 1990 the Marginal tax rate was 92%. No one quit working, certainly not the rich that was affected and don't think anyone was in that bracket back then.
Apparently, it topped 94% in 1944.

I had a link to an interactive table that showed around 90+% around the 1990s but cannot find it now.

Tried to find that graph but not finding it so maybe it wasn't around 1990.

90% of what then?

 

[Dude#1279435]

Upward of 37% on $609,000 and above for single taxpayer. WTF!

Federal income tax rates and brackets | Internal Revenue Service

See current federal tax brackets and rates based on your income and filing status.

www.irs.gov

 

[highfigh]

No, but not surprising either.

Upward of 37% on $609,000 and above for single taxpayer. WTF!

Federal income tax rates and brackets | Internal Revenue Service

See current federal tax brackets and rates based on your income and filing status.

www.irs.gov

Too much? Not enough?

 

[GO-NAD!]

At 90% tax who is going to work?

Right? I mean, people who paid those rates in the past must have all quite their jobs.

Upward of 37% on $609,000 and above for single taxpayer. WTF!

Federal income tax rates and brackets | Internal Revenue Service

See current federal tax brackets and rates based on your income and filing status.

www.irs.gov

OMG! Who can live on $400k!?

 

[Dude#1279435]

Too much? Not enough?

I'd say too much, but would like to know where the money is going. Lower class SS? Does the taxes we pay earlier equate to what we get later in SS? Or is the upper class paying for some of that too?

 

[Dude#1279435]

Right? I mean, people who paid those rates in the past must have all quite their jobs.

OMG! Who can live on $400k!?

It's fine till YOU have to pay it. Or as I Iike to say it's fun spending other peoples money. Not that I was superlative in that regard in my younger years, but now like at work I'm not really trying to spend more on orders. (Unlike a couple of the middle aged idiots I've seen at work.) I'd like to know where the money is going.

 

[GO-NAD!]

It's fine till YOU have to pay it. Or as I Iike to say it's fun spending other peoples money. Not that I was superlative in that regard in my younger years, but now like at work I'm not really trying to spend more on orders. (Unlike a couple of the middle aged idiots I've seen at work.) I'd like to know where the money is going.

If I made that much, I wouldn't complain about that tax rate at all.

Of course, nobody making $609,000 is paying 37% on that amount. Anyone in that income bracket is going to have significant deductions.

 

[Mikado463]

Of course, nobody making $609,000 is paying 37% on that amount. Anyone in that income bracket is going to have significant deductions.

it's 'braketed', so in essence your only paying the 37% on your income of above $609, 350

 

[mtrycrafts]

90% of what then?

Marginal tax bracket is how the system works now.
It's like a flat tax within a bracket.

 

[mtrycrafts]

Upward of 37% on $609,000 and above for single taxpayer. WTF!

Federal income tax rates and brackets | Internal Revenue Service

See current federal tax brackets and rates based on your income and filing status.

www.irs.gov

What is wrong with that? I would not mind that.

 

[mtrycrafts]

Right? I mean, people who paid those rates in the past must have all quite their jobs.

OMG! Who can live on $400k!?

They would become homeless.
Well, it would be $425K. Just went through the calk.

But, let's not forget, this is not on gross income but after deductions, legal or not. He could be making a million and end up with this amount after all the deductions. Or billions$$$$.

 

[mtrycrafts]

it's 'braketed', so in essence your only paying the 37% on your income of above $609, 350

Yes. In that case above it would be only paying about 30% after all that deduction to get him to $608,999.

 

[mtrycrafts]

I'd say too much, but would like to know where the money is going. Lower class SS? Does the taxes we pay earlier equate to what we get later in SS? Or is the upper class paying for some of that too?

No, SS is based on what you made in your lifetime or the highest 35 years of earning and each year of SS you paid in. If you paid the max each year you get maxed out.

ps. call SS, if you can get anyone to talk to and ask them how your SS pay is calculated.
or How is your SS retirement pay calculated - Google Search

 

[mtrycrafts]

... I'd like to know where the money is going.

Another Google question where does your tax dollars go, how does the government spend your taxes. Don't forget government gets other income to spend as well, not just income tax dollars.