Skip to main content

View Diary: Warren Buffett calls for A Minimum Tax for the Wealthy (107 comments)

Comment Preferences

  •  oh, I see (0+ / 0-)

    That's something like a 70% federal tax rate.

    As a negotiating position that's fine, but it's no longer a genuine proposal.

    •  why not? (1+ / 0-)
      Recommended by:
      Roger Fox

      we have had higher marginal tax rates in the past and people did quite well and so did the economy

      "We didn't set out to save the world; we set out to wonder how other people are doing and to reflect on how our actions affect other people's hearts." - Pema Chodron

      by teacherken on Mon Nov 26, 2012 at 10:28:01 AM PST

      [ Parent ]

    •  But its an actual solution (0+ / 0-)

      that would work, Repeal the Reagan tax cuts and the 1986 Tax Reform Act, would put the economy on a far more stable foundation.

      39.6% top rate aint going to do squat in that regard. The extra revenue is nice, but the inherent instabilities still exist. Domestic investment would still suck and income disparity would still increase.

      FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

      by Roger Fox on Mon Nov 26, 2012 at 10:50:51 AM PST

      [ Parent ]

    •  Maybe, Ferg, that you aren't (0+ / 0-)

      understanding the idea of marginal rates.  Buffett's proposal seems to be

      35% on AGI (adjusted gross income) up to $500K
      39.6% on AGI from $500K to $1M
      69.6% on the AGI over $1M but less than $10M
      74.6% on the AGI over $10M.

      So, you are right that the rate on income over $1M (after all the adjustments and deductions which Buffett doesn't appear to want to disturb) would be taxed at or over 70% -- but the first million would have a maximum tax rate of 39.6%.  And, surely those with more than a million dollars income can find accountants to minimize the AGI of the big bucks over a million.

      The good we secure for ourselves is precarious and uncertain, is floating in mid-air, until it is secured for all of us and incorporated into our common life. Jane Addams

      by Alice Olson on Mon Nov 26, 2012 at 02:24:42 PM PST

      [ Parent ]

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site