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> because there were so many exemptions. The effective tax rate was lower primarily because 91% was the top marginal tax rate. Even those who paid the top mar
by danans 8y ago
> because there were so many exemptions.
The effective tax rate was lower primarily because 91% was the top marginal tax rate. Even those who paid the top marginal rate still had most of their income taxed at lower marginal tax rates, just as it is today.
Also, a large number of exemptions still exist today.
- hackeraccount 8y agoIt used to be that all interest was deductible.
- danans 8y agoThis seems ripe for tax evasion. Two parties could loan each other the same amount, through different shell entities, and both could deduct the interest on the payments to the other.