4 ms·

Typically taxes like this are levied on the amount above the threshold. So someone making $250,000 / year will have to pay $0 in additional taxes. This is just

Typically taxes like this are levied on the amount above the threshold. So someone making $250,000 / year will have to pay $0 in additional taxes. This is just like the federal income tax, where if you go into the next bracket you don't suddenly have to pay more on everything up to that bracket. It is only the additional income that is taxed at the higher rate. It's amazing how many intelligent conservatives don't understand this basic aspect of taxes in the US. If you make more you always keep more in the US.

lowpro 9y ago
Do you have a reference for this? I've honestly never heard of this and had no idea, even though I study politics and economics somewhat closely. I've never seen this brought up as a point on either side when talking about taxes, so I'm curoious if this is the case if there are exceptions that have become the rule and thus this might be technically true but not seen by most people? TL;DR: taxes are hard, do you have a reference?
- daveguy 9y ago
  Sure: https://taxfoundation.org/2017-tax-brackets/ https://taxfoundation.org/2017-tax-brackets/ https://www.irs.com/articles/2016-federal-tax-rates-personal-exemptions-and-standard-deductions https://www.irs.com/articles/2016-federal-tax-rates-personal... It's how tax brackets work. Notice the "+X% over the excess / of the amount over" wording in the documents. I'm not a CPA, so maybe one can chime in with a counter example of someone who would take home less if they made a larger salary. But I'm pretty certain this is how it works.
- rndmize 9y ago
  https://en.wikipedia.org/wiki/Tax_bracket https://en.wikipedia.org/wiki/Tax_bracket
- protomyth 9y ago
  Look at the US tax code (just pull the calculations from the 1040A instructions on the IRS website). That's how tax brackets work.
- kevincennis 9y ago
  It's very common. A progressive income tax like this prevents situations where someone getting a small raise that moves them I i a higher tax bracket could actually leave them WORSE OFF than they were before the raise.

lowpro 9y ago

Do you have a reference for this? I've honestly never heard of this and had no idea, even though I study politics and economics somewhat closely. I've never seen this brought up as a point on either side when talking about taxes, so I'm curoious if this is the case if there are exceptions that have become the rule and thus this might be technically true but not seen by most people? TL;DR: taxes are hard, do you have a reference?

daveguy 9y ago
Sure: https://taxfoundation.org/2017-tax-brackets/ https://taxfoundation.org/2017-tax-brackets/ https://www.irs.com/articles/2016-federal-tax-rates-personal-exemptions-and-standard-deductions https://www.irs.com/articles/2016-federal-tax-rates-personal... It's how tax brackets work. Notice the "+X% over the excess / of the amount over" wording in the documents. I'm not a CPA, so maybe one can chime in with a counter example of someone who would take home less if they made a larger salary. But I'm pretty certain this is how it works.
rndmize 9y ago
https://en.wikipedia.org/wiki/Tax_bracket https://en.wikipedia.org/wiki/Tax_bracket
protomyth 9y ago
Look at the US tax code (just pull the calculations from the 1040A instructions on the IRS website). That's how tax brackets work.
kevincennis 9y ago
It's very common. A progressive income tax like this prevents situations where someone getting a small raise that moves them I i a higher tax bracket could actually leave them WORSE OFF than they were before the raise.