The 400 richest Americans used to pay 30% of their income on the average to Uncle Sam. Today, they pay 18% on average, according to Steve Ratner, a Wall Street financier, who just presented the numbers to MSNBC. The main reason for the drop in their tax rate of some 40% is the tax cuts by George Bush in 2003, taking the rate paid on dividends and capital gains down to 15%. This reduction in the investment class’s taxes powered the bull market in stocks from the fall of 2003 until the fall of 2007.
Tuesday, July 26, 2011
400 Richest Americans Pay 18% Tax Rate
The 400 richest Americans used to pay 30% of their income on the average to Uncle Sam. Today, they pay 18% on average, according to Steve Ratner, a Wall Street financier, who just presented the numbers to MSNBC. The main reason for the drop in their tax rate of some 40% is the tax cuts by George Bush in 2003, taking the rate paid on dividends and capital gains down to 15%. This reduction in the investment class’s taxes powered the bull market in stocks from the fall of 2003 until the fall of 2007.
