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Both things can be true at the same time. Obviously, it's widely reported that the very richest of the rich pay very little tax. But according to table C-1 of
by michaelt 1y ago
Both things can be true at the same time.
Obviously, it's widely reported that the very richest of the rich pay very little tax.
But according to table C-1 of [1] the richest 20% of US households have an average income of $418,100 and, after taxes and benefits, contribute $101,300 to the treasury. The middle 20% of households have an income of $86,500 and overall contribute $200 to the treasury. And the poorest 20% of households have an income of $22,500 and receive $26,200 from the treasury.
Which makes sense when you think about it - the garbage truck visits the household on $40k just as often as it visits the household on $400k. Taxes are progressive, benefits are (mostly) equal.
So even though the richest 0.1% of people might be dodging tax entirely, the richest ~30% are the ones financing the government.
[1] https://www.cbo.gov/system/files/2024-09/60341-income.pdf https://www.cbo.gov/system/files/2024-09/60341-income.pdf