4 ms·

> The top 10% have 50% of the income, and the top 1% have 22% of it. So? That's about income inequality. That's not the discussion here. The relevant question

• thrownaway2424 10y ago
  If we're discussing the ratio of income to taxes, the number on the numerator seems relevant.
• thatcat 10y ago
  The divide is between those who live off investments and those who work. So since capital gains are taxed at a lower rate than labor, there is some tax rate bias against labored work. Although it is progressive, the capital requirements for entry are high so it is unlikely for low earners be able to benefit from this. from capital gains wiki: The tax rate on long-term gains was reduced in 1997 via the Taxpayer Relief Act of 1997 from 28% to 20% and again in 2003, via the Jobs and Growth Tax Relief Reconciliation Act of 2003, from 20% to 15% for individuals whose highest tax bracket is 15% or more, or from 10% to 5% for individuals in the lowest two income tax brackets