Who is Really a Tax Payer? – Definition of “Tax Payer”

You’ve probably heard it before and you’ll most likely hear it again, someone is always crying about the “tax payer” getting stuck with the bill.  When they mention the term tax payer, they portray it as the “average working” American.

Wah wah wah, how come celebrities and rich people get special treatment and we get stuck with the bill!  We are going to establish right now who is and who isn’t a tax payer.  

Did you know that over 70% of Income Tax was paid by only 10% of the population in 2009?  And this isn’t a anomality, this is nearly the same every year.  Here is a breakdown of the 2009 Taxes based on AGI.

Percentiles Ranked by AGI	AGI Threshold on Percentiles	Percentage of Federal Personal Income Tax Paid
Top 1%	$343,927	36.73
Top 5%	$154,643	58.66
Top 10%	$112,124	70.47
Top 25%	$66,193	87.30
Top 50%	$32,396	97.75
Bottom 50%	<$32,396	2.25

In 2009, the median income was above $52,000.  Now if you’re single and have just the standard deductions, and nothing else, your AGI is $42,500, if you made $52,000.  Where does that put you in the chart above?  It puts you somewhere between the top 50% which accounts for paying about 10% of the total income tax in the nation.

But what if you’re married?  Your AGI is now $33,000, putting you awfully close to the bottom 50% that pays 2.25% of the income tax.  What if you have a kid?   Then you’re AGI drops to $29,300 making you for sure in the bottom 50%.

So let’s just say safely, that the majority of households who made median income or less are in the bottom 50%, especially if they are married, have a kid, or have a number of other deductions.

That means half the people complaining about being stuck with the bill don’t really even pay any income tax at all.

Most people think they pay income taxes and contribute significantly to paying taxes when in reality, if they are lucky, they only pay sales tax, property tax, and for their own mandated retirement (social security).

That’s if they don’t get a refund, which almost half do, making it so they not only pay NO TAXES, but they get money back that they didn’t pay at the end of the year, ADDING TO the tax bill.

So now let’s look at how many people are in each bracket, for these estimates we are going to assume the average household is married and has 1 kid.

Bottom 50%, AGI < $32,396 (pays 2.25% of income tax) is comprised of approximately 54.87% of the nations households, with a household income before adjustments of $52,000 or less.

Top 50%, AGI < $66,193 > $32,396 (pays about 10.4% of income tax) is comprised of approximately 24.76% of the nations households, with a household income before adjustments of between $52,000 and $89,000.

Top 25%, AGI < $112,124 > $66,193 (pays about 17% of the income tax) is comprised of approximately 5% of the nations households (hard to estimate based on ranges), with a house hold income before adjustments of between $89,000 and $135,000.

Top 10%, AGI < $154,643 > $112,124 (pays about 12% of the income tax) is comprised of approximately 4% of the nations households (hard to estimate again because of ranges in charts), with a house hold income before adjustments between $135,000 and $177,000.

Good stopping point.  There’s about 12% of the nations households left.  I think you get the idea.  

The top 5% pay 58% of the income tax.  Let’s summarize.

12% of the households pay about 58% of the income tax.

21% of the households pay about 87% of the income tax. (Yes, the top 25% earners are most likely couples in the same house hold, hence 21% of households)

and the reamining 79% of households pay only 13% of the income tax bill.

Conclusion

People that are in the top 50% for sure deserve special treatment.  And as you go up the line to the top 1%, the treatment you get should be exponentially more special.  If you’re not at least in the top 50%, then shut the fuck up and stop complaining.  Instead, start being thankful to these people.

They pay for all of your education, the wars you want, your welfare, your food stamps, your unemployment, and just about every fucking service you can possibly imagine that you take for granted each day.  Guess what?  If you’re in the bottom 50% of tax payers that hardly pay any taxes, you make up over 50% of the population.

YOU of all people have NO RIGHT to complain about special treatment to real “tax payers”.  YOU ARE NOT a tax payer, you are a TAX BURDEN.  You have enough people in your class to vote in whoever you want for President.  If you don’t like the way things work, IT’S YOUR FUCKING FAULT.

Start electing leaders who will reduce income taxes and make them proportionate per household.  The entire tax bill say for 2012 was $3.796 trillion as enacted (cough Obama humpers) only $2.469 trillion total was collected ($1.165 trillion was income tax) among 8 sources of revenue colleciton.

Total receipts

Item	Requested[41]	Enacted[40]
Individual income tax	$1141 billion	$1165 billion
Corporate income tax	$329 billion	$237 billion
Social Security and other payroll tax	$925 billion	$841 billion
Excise tax	$103 billion	$79 billion
Customs duties	$30 billion	$31 billion
Estate and gift taxes	$14 billion	$11 billion
Deposits of earnings and Federal Reserve System	$66 billion	$81 billion
Other miscellaneous receipts	$20 billion	$24 billion
Total	$2.627 trillion	$2.469 trillion

In order to make the budget balance for 2012 you would have to increase revenue in each section by 53.74%.  This would mean you would need to collect $1.791 trillion in income tax.  Divide that by the total number of households, say around 113,146,000 and then pay your fucking fair share, which for those of you who are too stupid to do math is about $15829 per household.  Or if there’s about 228 million adults in the United States, it would be $7855 per person in just Federal Income Tax, not including your Social Security Payments.

When you pay your fair share then complain about special treatment, until then; just sit there on the couch, watch your tv, enjoy your food stamps, and shut the fuck up?  Got it?

If you can’t afford to pay your fair share then stop voting in Presidents who make the budget so expensive.  Obviously, they have no choice but to treat the real tax payers better because those people will leave the country, move their businesses overseas, and move all the jobs overseas if they DON’T get special treatment.  YOU allowed it to be that way!  If you don’t like it, FIX IT!

I’m tired of hearing whiny little bitches who think they are tax payers but aren’t, complaining about special treatment these people get.  I just identified the problem, now fucking FIX IT, if you don’t like it.  YOUR WELCOME!

Information from this article was pulled from or calculated by:

http://ntu.org/tax-basics/who-pays-income-taxes.html

http://en.wikipedia.org/wiki/Household_income_in_the_United_States

http://turbotax.intuit.com/tax-tools/calculators/taxcaster/

http://en.wikipedia.org/wiki/Demographics_of_the_United_States

http://en.wikipedia.org/wiki/2012_United_States_federal_budget