A REASONABLE OPTION

Before you believe that the richest Americans are taxed too much, look at the facts. In 2008, the IRS reports that the average income tax rate on the 400 richest Americans was just 18.11 percent—less than the percentage (25%) paid by an individual making $32,550 annually. (The sixteen “poorest” of the 400 richest are worth $1 Billion each. The rest are worth more than $1 Billion—much more.)

One hundred of the ultra-rich (1/4 of them) paid between 10 and 15 percent in 2008, which is the rate for those making less than $32,550 (about average teacher pay in Oklahoma.) One hundred twelve (28%) paid between 15 and 20 percent in income taxes in 2008.

Thirty of the richest Americans paid an average rate of less than 10%--which is the same percentage as individuals making $8,025 or less annually. To put this in perspective, someone making $1 Million earns more ($8,052.88) in two days and 45 minutes than someone making $8,025 in a full year.

It’s not “un-American” to talk about raising income taxes on the extremely wealthy. Thomas Jefferson said it best in 1784: “Taxes should be proportioned to what may be annually spared by the individual.”

Our country needs revenue to bring down our national debt. That’s not to say that spending can’t be cut, but that’s only part of the solution.

Income tax rates are the lowest they’ve been in sixty years, by any measure used.

It’s difficult to understand why anyone would think that lowering taxes on the extremely wealthy would help anyone except the extremely wealthy. America’s most prosperous years were ones during which the top marginal income tax rate was at its highest levels—55 years (from 1932 to 1986) when those rates ranged from 63% to 94%.

During those years, we built schools, universities, libraries, roads, bridges, a strong military, an excellent international reputation, and “safety nets” for our most vulnerable. We made commitments to the future for our children and grandchildren. We developed the American Dream.

Don’t let anyone fool you into believing that raising revenue isn’t a reasonable option.