Trump says now he wants to tax the rich..............
- Thread starter AgEngDawg
- Start date
A married couple that makes more than $470,700 a year pays $131,628 plus 39.6% on anything over $470,700. And that does not include state taxes. To simplify this for a married couple that makes almost $500k a year is paying approximately 40% in (fed and state) taxes. Therefore the $500k is reduced to $300k after taxes. That is a pretty step tax bill regardless of who you are.
Well, let's start with mortgage interest deductions, education savings, 401k, and huge other savings plans and big deducts if they're self-employed like dentists and they can meter out what they need for income and invest most of the rest. And then they'll barter tooth care for lawn care or eye care. If they started their own business almost everything from cars to health insurance comes off, and if they invested in their own building there is write-offs for repairs and depreciation, and oh since your at it can you fix the roof on my vacation place? on and on.They'll do alright, but yes they do pay quite a lot compared to the average joe.
Even back in the day, in the supposed "90% tax rate" days, they could invest in tax shelters like some crazy at the time DoD scheme with an airplane that could fly into hurricanes and write-off the investment from the bottom line amount that they OWED. Sometimes in multiples like 3X or more than the investment. So they paid nowhere near that rate either. They did alright, too.
Problem starts with thinking just because you pay more taxes that makes you're somehow better than the next guy.
Exactly, loopholes need to be closed. No mortgage deduction if you make more than 200K also.
