Taken from the WSJ:

In 2008, there were 236,883 tax filers reporting income of $1 million or more. The Patriotic Millionaires, a group advocating the repeal of the Bush tax cuts on tax filers making $1 million or more a year, estimated that their plan would raise $500 billion to $600 billion over 10 years. That sounds like a lot.

But only $100 billion of that is projected savings from lower government debt costs. So the tax would actually raise $40 billion to $50 billion a year: equal to about 3% of the annual federal deficit..

Sure, that sounds like a lot. But when you’re revenues are ~$2.2 Trillion, and you’re spending ~$3.8 Trillion, basic math tells us we’re accruing a debt of $1.6 Trillion as of late. Suddenly the nefarious $60 Billion doesn’t seem like so much. Especially when you consider these are surely CBO figures, which means that they assume behavior won’t change. Meaning that as in the 1990’s effective tax rates won’t change when you tax the rich. They’ll just move their corporate bonds and other mediocre investments into municipal and state bonds which are constitutionally protected federal tax havens.

And from the AP:

President Barack Obama has preached that all Americans should pay their fair share in taxes, but a government report finds that tens of thousands of federal employees — from staffers in Congress to federal agencies and even Obama’s executive office — collectively owe the government billions in back taxes.

Data from the Internal Revenue Service found that more than 279,000 federal employees and retirees owed $3.4 billion in back income taxes as of Sept. 30, 2010.

The data showed that 467 employees of the House of Representatives, or about 4.2 percent of the workforce, owed more than $8.5 million. In the Senate, 217 employees, or about 3 percent of the workforce, owed $2.13 million.

Obama’s staff was not immune, either, with 36 people in Obama’s executive office of nearly 1,800 workers — about 2 percent — owing the government $833,970 in back taxes.

 

And these are just federal employees, I wonder how many people across the country owe back taxes? Maybe we should enforce the law before changing it.  Just saying.

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