Glance – in turn – at each of your hands. Now, focus on your left hand. Each finger adds up to the top 5 percent of wage earners who pay more than 60 percent of all taxes.
Next, focus on your right hand. Each of those fingers adds up to the …
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Glance – in turn – at each of your hands. Now, focus on your left hand. Each finger adds up to the top 5 percent of wage earners who pay more than 60 percent of all taxes.
Next, focus on your right hand. Each of those fingers adds up to the next 5 percent of wage earners.
Together, all your fingers represent the top 10 percent who pay more than 70 percent of all taxes.
Conversely, almost 50 percent of U.S. wage earners pay no federal income taxes.
That’s right … 50 percent of all wage earners pay zip, zero, nada federal income taxes.
The fact noted above begs an obvious question: How much more of the federal tax burden should those wage earners and all other citizens who do pay income taxes have to bear to satisfy the federal leviathan?
Unfortunately, too many among us would be quick to say “more, more” – citing our preferred definition of income tax fairness.
And, some of those seem politically bent to call for, well, even 100 percent …
But here, succinctly, is the truth as birthed in America’s founding:
Taxation is not a tool for social justice.
And taxation was never intended to be installed or utilized to select winners and losers. The only purpose of appropriate taxation is to fund essential government.
Nowhere is that more the case than at the federal level of government – where essential government responsibilities are defined, and limited authorities assigned, in the Constitution.
Yet as the size, the power and the reach of the federal government has grown, taxation has been and is being used as a tool for social injustice.
The current federal income tax system prostitutes the American birthright proclaimed in the Declaration of Independence. As prosecuted by the IRS, the income tax is a source of harm and ruin to most; and it has become a bane to life, liberty and the free pursuit of happiness.
If the federal income tax is not discontinued this year, growing discontent is likely as a result of the disparate treatment of wage earners long inculcated in a tax code which inflicts and perpetuates real social injustice between actual income taxpayers and those who do not pay.
Make no mistake, this is not a call for a tax rate break for the “wealthy.”
Whether “who is wealthy” is defined by various income levels or suggested to you and me via the rhetoric used by politicians, they continue to play political games and promote class warfare in their quest to control votes.
The reality is all such rhetoric and political posturing is a proverbial slap in the face to every citizen.
To cite one example, when government can cut someone’s tax, then another has to pick up the slack.
Ironically, that would still be true even if federal government spending was reduced to levels in sync with and limited to constitutionally defined responsibilities.
The truth is: We all know in our heads that this must change. We also know in our hearts the scope of federal government has grown beyond the pale.
We know in our gut that federal government is – to use a familiar word of Mrs. Obama – obese.
So, if you are among those in the half of the people that pay all of the federal income taxes, you’re much more likely to join hands to squeeze out the injustice in the current federal system by demanding an immediate end of the income tax.
This week’s poll question:
Do different tax rates and special breaks breed social injustice into the current
federal income tax system? Visit www.keysurveys.us to answer.
Richard Olivastro is president of Olivastro Communications and founder of Citizens for Change. A professional member of the National Speakers Association, he is available pro bono for charitable fundraisers and public forums and can be reached via e-mail at RichOlivastro@gmail.com or by phone at 1-877-RichSpeaks.