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1939

(1,683 posts)

66. First big tax cut of my lifetime

Tue May 3, 2016, 04:30 AM

May 2016

Was JFK. Lowered all rates, but the top rate went down from 91% to 70% in 1963.

Carter dropped the top rate from 70% to 50% for "earned income" but kept the 70% rate for "unearned income". In other words, if you were a rock star make a few million a year, that was 50% taxable while if you had a small business and made $300K a year, the was 70%.

Reagan, early in his presidency, made it 50% for all income.

1986 was the grand bi-partisan (remember Gephardt?) "revenue neutral" tax reform where various tax deductions got traded off for lower rates.

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The USA only has one fiscal problem: Lack of political will to tax those who have all the money. [View all] Scuba May 2016 OP

Chip shot back to the top and a rec. nt ChisolmTrailDem May 2016 #1

Actually add one other issue nadinbrzezinski May 2016 #2

Absolutely right Fresh_Start May 2016 #28

Works wonders for "undocumented" immigration. 1939 May 2016 #61

I wasn't thinking about undocumented immigration Fresh_Start May 2016 #88

Bingo, nadin! Dont call me Shirley May 2016 #45

Revoke corporate charters. SomeGuyInEagan May 2016 #57

Jail & confiscation of their assets & those of partners & family. Ghost Dog May 2016 #58

Any organization is like a septic tank 1939 May 2016 #62

Be careful about the broad brush there nadinbrzezinski May 2016 #91

Sorry. Did not mean "Revoke all ..." But do states EVER revoke a corporate charter? SomeGuyInEagan May 2016 #104

It happens, but not with the big boys and girls nadinbrzezinski May 2016 #106

Absolutely right... punish the big guys.. and the small guys will suffer too.nt clarice May 2016 #114

The more money you have - the more "Right Offs" you have FreakinDJ May 2016 #77

The fundamental issue with under-regulated capitalism. nt. MH1 May 2016 #87

Since President Obama's reelection, the top rate of income tax on the rich has increased by 4.6%. Nye Bevan May 2016 #3

still not enough if we are forced to cut programs like food stamps. tk2kewl May 2016 #8

Sure. Nye Bevan May 2016 #19

Income Taxed. Not Unrealized Capital Gains scottie55 May 2016 #52

So every year 1939 May 2016 #64

that is hardly a lot of money for the vast majority of people Fast Walker 52 May 2016 #70

Lots of older people would need to sell their houses, Nye Bevan May 2016 #74

well, one solution would be to exempt houses and businesses from the CG tax Fast Walker 52 May 2016 #102

They are taxed. 1939 May 2016 #82

Can you provide a source, because I've heard differently? Fast Walker 52 May 2016 #103

Here 1939 May 2016 #110

thanks! So that table shows how someone with low regular income Fast Walker 52 May 2016 #119

Had to do a bit of looking 1939 May 2016 #122

cool! Fast Walker 52 May 2016 #124

the lack of capital gains tax is freaking insane Fast Walker 52 May 2016 #69

I think that here is the thinking on that 1939 May 2016 #125

I like it! Now if we can only get Congress in the control of sane people... Fast Walker 52 May 2016 #127

As closely divided as the country may be 1939 May 2016 #128

The income tax rate doesn't affect a lot of the rich. Like Steve Jobs was only paid $1 a year. LiberalArkie May 2016 #15

Leona Helmsley Dyedinthewoolliberal May 2016 #20

Yea, she is the one who let out their secret. LiberalArkie May 2016 #25

Yeah, and she went to prison for it. Indydem May 2016 #31

And they're only taxed when they sell the shares. Calista241 May 2016 #49

What about the estate tax? lumberjack_jeff May 2016 #21

The estate tax lancer78 May 2016 #123

WTF!? Phlem May 2016 #24

Do they pay it? n/t SujiwanKenobee May 2016 #44

actually since Obama's re-election hfojvt May 2016 #59

More than that 1939 May 2016 #63

Yes, just more proof that there arent enough rich people to make a big difference. 7962 May 2016 #71

That's a false argument ProfessorPlum May 2016 #80

Its not a "false argument". 7962 May 2016 #95

Rich folks don't circulate a ton of it ProfessorPlum May 2016 #101

Reelection, why use his reelection as a comparison point? fasttense May 2016 #90

Exactly. FDR figured this out. Progressive countries today have not forgotten. pampango May 2016 #4

In my view, taxes are too high. n/t Kang Colby May 2016 #5

I am finally one of the privileged few. I don't have to pay taxes any more. LiberalArkie May 2016 #27

Thanks for The Enlightening Post ProfessorGAC May 2016 #81

Too high for what? Gore1FL May 2016 #85

There's more than 1 fiscal problem maxsolomon May 2016 #6

I'm so glad you recognize this ... 1StrongBlackMan May 2016 #10

It's a tempting rebuttal, but that way madness lies whatthehey May 2016 #13

exactly-- the Pentagon is a very costly, inefficient and highly polluting jobs program Fast Walker 52 May 2016 #67

Presumably, the money would be spent elsewhere. lumberjack_jeff May 2016 #23

aeronautic engineers ... 1StrongBlackMan May 2016 #29

Well then they can run a bulldozer! Indydem May 2016 #32

Then get them the skills they need. lumberjack_jeff May 2016 #35

Okay. 1StrongBlackMan May 2016 #38

You cannot GIVE anyone skills FrodosPet May 2016 #84

It always seems that the only people given the advice to "get the skills for the new economy" lumberjack_jeff May 2016 #92

They could learn! I've got degrees, but I worked as a waitress, a dishwasher, and all JDPriestly May 2016 #43

Okay. 1StrongBlackMan May 2016 #47

There was a big cutback in 1974 1939 May 2016 #65

Apparently not. According to some, aero engineers are incapable of change ... SomeGuyInEagan May 2016 #105

We could use passenger planes that pollute less, that use less petrochemical fuel. JDPriestly May 2016 #108

Sure they do, and with minimal retraining. Materials change, the math and engineering skills do not. hunter May 2016 #111

Isn't the interstate highway system technically a military installation? LisaM May 2016 #86

I think you're right, and this is a good point. n/t lumberjack_jeff May 2016 #93

No, it's not ... 1StrongBlackMan May 2016 #112

They can get jobs as Uber drivers FrodosPet May 2016 #83

Get rid of military contractors doing work that the military used to do for itself- KittyWampus May 2016 #96

I agree. 1StrongBlackMan May 2016 #99

In my state (CA) it makes for a volatile tax base. Throd May 2016 #7

bernie is free to pay way more tax than he does with his low tax rate and all. He could chip in msongs May 2016 #9

Jeezus... straight out of the Republican playbook. You must be very proud. Scuba May 2016 #12

More and more of them sound like Republicans these days. alarimer May 2016 #22

Wow. Just Wow. Phlem May 2016 #34

Just imagine the record turnout to vote for HRC! Enthusiast May 2016 #40

bernie is free to pay way more tax than he does AlbertCat May 2016 #36

Uhhh no Lurker Deluxe May 2016 #41

Yes if you want to overpay what you owe you must send it to the Bureau of the Fiscal Service PoliticAverse May 2016 #126

Speaking of which, why don't you do that? MisterFred May 2016 #56

Neither do any others in that bracket. Never do. 7962 May 2016 #75

Well it's a big one sure whatthehey May 2016 #11

"$1000 lower taxes for a struggling family?" Indydem May 2016 #33

millions of them, and yes whatthehey May 2016 #78

You're forgetting about the EITC, etc 7962 May 2016 #76

Evven if anecdotes like this (not data) are true whatthehey May 2016 #79

Sorry, but Ive seen the checks. They DO get that much and more 7962 May 2016 #94

Then they had to have paid it in whatthehey May 2016 #98

I dont know what youre looking at, but with 3 kids you get over 6k "credit" 7962 May 2016 #120

Nearly. But too many act as if there is no harder work necessary to solve the problem. jtuck004 May 2016 #14

First big tax cut of my lifetime 1939 May 2016 #66

It was LBJ that passed the JFK tax cuts NobodyHere May 2016 #109

You say that as if most members of Congress don't have shit tons of money themselves YoungDemCA May 2016 #16

"You say that as if most members of Congress don't have shit tons of money themselves" Phlem May 2016 #26

Yep. hunter May 2016 #17

Robert McChesney and John Nichols say in their book "People jwirr May 2016 #18

It isn't that they lack the will. sulphurdunn May 2016 #30

Or better... Helen Borg May 2016 #37

Scuba you are absolutely right on. Enthusiast May 2016 #39

Bingo! Punkingal May 2016 #42

true MariaThinks May 2016 #46

Word. nt babylonsister May 2016 #48

Amen to this. jonestonesusa May 2016 #50

Sell outs and cowards. Nt azmom May 2016 #51

The loophole lobby Babel_17 May 2016 #53

I'm inclined to think the federal tax rates are good and progressive bhikkhu May 2016 #54

actually they are not hfojvt May 2016 #60

Amen. raven mad May 2016 #55

progressive taxation is an extremely important way to keep the oligarchs in check Fast Walker 52 May 2016 #68

Simple solution! secondwind May 2016 #72

Fantastic! K&R! eom Betty Karlson May 2016 #73

This is sorta like asking a fly Plucketeer May 2016 #89

K&R ReRe May 2016 #97

here is a quote from Upton Sinclair that explains why our govn't doesn't tax the rich... Javaman May 2016 #100

Its not political will it the ignorant Americans, still cannot see what is being done rladdi May 2016 #107

Scuba.... you know that I love you... but do you really think that is the answer?nt clarice May 2016 #113

They're hiding trillions, so yeah. Scuba May 2016 #115

Who is hiding trillions? I can only think of Soros and that crowd... I doubt that..... clarice May 2016 #116

Wake up and smell the coffee .... Scuba May 2016 #117

yawnnnn....sniff sniff...is that Chicory? nt clarice May 2016 #118

Don't forget the huge amount of the budget that goes to our bloated military. nt tblue37 May 2016 #121