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Politics : Mainstream Politics and Economics -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (54817)	10/8/2013 7:12:30 PM
From: TimF	Read Replies (2) \| Respond to of 85487

No its supported by the last 50 years (and a lot of other history beyond that, by solid economic theory and by common sense). Rates are lower, but that isn't the same as taking a lower percentage. Even just focusing on rates, when rates were much higher there was more effort on creating and using tax loopholes than there is now. Few actually paid those high top rates. Its not just higher rates that cause more incentive for evasion, but also marginal and average rates remaining high, that lead to more and more create and use of loopholes as there is more time to do so (and less belief that the high rates are a temporary thing). -- Note that from the start of the 28% rate on to today, every year has had a higher income tax take as a percentage then in 1965 (with 70% top marginal rates), and except at the recession bottom a higher percentage was taken in then 1960-1965. Also at the 28% rate the take was a higher percentage than it has been since except at the top of the tech bubble. heritage.org Meanwhile corporate taxes have remained high heritage.org and the burden of federal taxation has been shifting to, not away from, the wealthy. money.cnn.com Message 28534774 ntu.org heritage.org