Another - why taxing the rich won't work

[aegsm76]

http://www.americanthinker.com/blog/...elves_out.html

Snippets:

The tax year of 2008 was the last to date that the IRS has done this kind of analysis. In 2008 the highest marginal tax rate of 35% applied to all AGI above $357,700.00. In that year the total amount of AGI subject to the highest rate was $622.8 Billion. The government collected in taxes $218.0 Billion (35%).

In 2011 the annual budget deficit will be nearly $1.665 trillion and in 2012: $1.1 trillion. If the Liberal Democrats in league with the Socialists, the Unions and the Communists, succeed in raising the highest marginal rate, how much more would Washington D.C. receive, assuming no change in behavior and a general eagerness to pay more?

If the highest rate of 35% were raised by a factor of 20% to 42%, then the additional tax revenue would be $43.5 Billion, not much of a dent in $1.665 trillion. So, let's raise the rate by a factor of 50% to 52.5%; the additional revenue would be $108.9 Billion. Still nowhere near enough, so let's just tax it at a rate of 100%, bringing in an additional $404.8 Billion. Unfortunately the country is still $1.26 trillion in the hole for the year.

[coadie]

The Left knows the gullible among us easily fall for centuries-old class warfare rhetoric that demonizes the wealthy, yet they persist in doing the unconscionable, as it keeps them in power despite the fact that it enflames passions and in some cases, violence.


What the Democrats are doing is entirely based on a lie. The United States cannot tax its way out of the present financial crisis, and from a cursory examination of Paul Ryan's proposal, his is the best plan yet presented and needs to be defended and promoted

.One of the simplest lies from the simple minded Democrats is that there is a linear relationship between raising taxes and cutting the deficit.