Ezra
Klein does a generally good job of breaking down this “47 percent who
pay no income taxes” as to what they actually do pay.
Klein, as the first graphic from his blog
shows, points out that those “47 percenters” pay plenty of state and local
taxes.
Sales taxes at the state/county/local level,
especially if food is taxable, are definitely regressive. I mean, we all have
to eat, and there’s only so much pricey caviar or paté that Mitt Romney and his
ilk can swallow. State income taxes, too, can have more loopholes for the
well-off than federal ones.
That said, I don’t know how Klein exactly
figures in property taxes. But, even if you’re a renter, you pay them
indirectly as part of your monthly rent.
But, Klein doesn’t go far enough, even then.
Don't forget all the state “fees” that we all
pay. Rick Perry with his “Texas miracle” ignores that Texas has consistently
jacked up “fees” during his governorship -— driver's license, car registration,
etc. He also ignores that Texas does things like charging fees on guns and
ammunition, theoretically to support state parks and wildlife, but that the
amount of those fees that actually goes to the Texas Parks and Wildlife
Department is capped, while the rest goes to the state’s general fund.
I also don’t know how Klein counts excise fees …
if they’re considered taxes or not. Let’s not forget that the feds have plenty
of excise fees, on things like phone service, as do states and municipalities. (It does seem that Citizens for Tax Justice does, though exactly what it includes, I don't know. That said, I don't doubt that, in the Great Recession, many states hiked a lot of these fees a lot, afraid to raise top income tax rates on rich individuals or corporations.)
Let’s add to this other “fun.” Here in Texas …
the Internet is supposed to be convenient, right? So “convenient” that you have
to pay a convenience fee to renew your car registration online.
In other words, Tricky Ricky’s claim to have
not raised taxes is a big fat lie, beyond semantics.
I’m sure other states have similar issues. And,
I’ve probably only scratched the edges in Texas, even as big-biz lobbying
groups are trying to scrap the minuscule business and franchise tax we
currently have here.
A second graphic has combined the
information and shows that total taxation is moderately progressive from
the bottom of the income stack to the 80th percentile, only mildly
progressive from there to the 99th percentile, and regressive for the
top 1 percent. Had Klein broken out that top 1 percent, he probably
would have fond it even more regressive.
Finally, Mittens and his like pay much of their
taxes at a capital gains rate far below income tax rates. This encourages the
rampant short-term churning of stocks. If we taxed capital gains as income
while, per the clamor of some financier types, allowing an inflationary
depreciation, we’d force investors to be real investors for the long term,
while stopping the short-term churning.
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