Jul 22 2008
Who Pays the Taxes in America?
An interesting article in yesterday’s Wall Street Journal breaks down the percentage of taxes paid by various income classes. See the chart below:

As you can see, the richest 1% of people in the United States earned 22% of the total income and paid 40% of the total taxes in 2006. The top 25% of income earners earned 37% of the total income and paid 60% of the total taxes.
The editorial goes on to state that:
“Barack Obama says he’s going to cut for those at the bottom, but that’s also going to be a challenge because Americans with an income below the median paid a record low 2.9% of all income taxes, while the top 50% paid 97.1%. Perhaps he thinks half the country should pay all the taxes to support the other half.”
Doesn’t sound fair to me.
Another interesting point in the editorial is the large growth in the number of Americans that earned over $1 million in 2006. The number rose from 181,000 in 2003 to 354,000 in 2006.
Read the whole article.






