Throughout the presidential campaign, the debt ceiling debate and the latest sequestration battle, there has been one consistent talking point among Democrats: The rich need to pay more taxes. The reasons range from “making sure deficit reduction doesn't happen on the backs of the poor and seniors” to needing to “pay their fair share.” Unfortunately for these liberals, the facts aren't on their side.
The CBO projects that revenues to the federal government will set a record this year. Revenues are expected to top $2.7 trillion in 2013, which is above the pre-recession level of $2.6 trillion. Yet despite the government collecting the most revenue in history, the CBO also predicts that we will still have a budget deficit of $845 billion this year. To me, and any rational American looking at these figures, this means we have a spending problem, not a tax the rich problem.
So how much are the rich really paying in taxes? According to the Associated Press, using figures from the Tax Policy Foundation, “wealthy families already are paying some of their biggest federal tax bills in decades even as the rest of the population continues to pay at historically low rates.” Average tax bills for rich families has rarely been higher since they started tracking this type of data in 1979. From the Associated Press report:
For 2013, families with incomes in the top 20 percent of the nation will pay an average of 27.2 percent of their income in federal taxes, according to projections by the Tax Policy Center, a research organization based in Washington. The top 1 percent of households, those with incomes averaging $1.4 million, will pay an average of 35.5 percent.
Those tax rates, which include income, payroll, corporate and estate taxes, are among the highest since 1979.
The average family in the bottom 20 percent of households won't pay any federal taxes.
Keep in mind that many liberals, including Obama himself, do not really want to raise taxes on the rich for the purposes of generating revenue or reducing the deficit. They want to do it in order to punish the Republicans politically, pander to their ignorant constituents and continue