Comments about ‘Ajay K. Mehrotra: No, Washington should not adopt a flat income tax’
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Let's see, a $10,000.00 income at 17% the "poor person" would pay $1700.00 in Federal Taxes. That is 100% more than they pay now. Someone making $20,000 would pay $3400.00. Still 100% more than they pay now. At $40K tax would be $6800.00. They still don't pay too much tax after deductions so let's say 90% more than they pay now. $100K= $17,000.00. With deductions most likely more than they pay more. Someone making $250k (now considered rich) would pay $42,500 in taxes. Again with Deductions, more than they pay now. If Mitt made $240 million each year that would $40,800,000.00 tax. Of course Mitt doesn't make that much, that is what he is worth.
The bottom line is, with a flat tax, no deductions except maybe for charitable contributions, everyone would pay something and some would pay a lot more. GE would even have to pay. That would be fair and equitable. I'm not in favor of 17% but, even the "working poor" should pay. Myself included.
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