Will Taxing the Rich Even More Improve Inequality?

Will Taxing the Rich Even More Improve Inequality?

Will Taxing the Rich Even More Improve Inequality?

It’s been the cry of democratic lawmakers and many of the less fortunate for years: “We need to tax the wealthy even more.” “The rich have to pay their fair share of taxes, too.” The problem is the rich already pay a huge portion of the country’s tax bill, and in fact, despite those common complaints, taxing the wealthy really won’t end inequality.

Tell a Rich Person Thank You

The next time a member of the middle class comes across a wealthy person, he or she might want to say thank you, instead of clamoring for more of that person’s hard-earned money. That’s because the rich actually already do a lot for the rest of the population in America.

Rich Pay The Majority Already

First off, the wealthy pay more than the rest of the country thinks. In fact, according to the IRS, the top 1 percent of society makes 15 percent of the income. However, they pay 39 percent of all federal income taxes. Think about that; the top one percent pays more than a third of the country’s federal tax bill.

More Donations

The wealthy help the rest of the country out in another significant ways as well. Many of America’s wealthiest individuals, such as Warren Buffet and Mark Zuckerberg have made huge donations to charitable causes and continue to do so.

More Investments

Another way the wealthy make a difference is that they invest their income in other companies. That money is also put into financial institutions, which can in turn makes loans to the middle class to buy homes or start a new business.

Enough Is Enough

The fact is, the rich pay their fair share in taxes and they actually help the rest of the world in many other significant ways. There is no need to create even more taxes simply to take more of the wealthy class’s heard-earned money.

 

We hope you found this interview “Will Taxing the Rich Even More Improve Inequality?” helpful.  If you have questions or need expert tax or family office advice that’s refreshingly objective (we never sell investments), please contact us or visit our Family office page  or our website at www.GROCO.com.  Unfortunately, we no longer give advice to other tax professionals gratis.

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Alan Olsen, CPA

 

Alan Olsen, is the Host of the American Dreams Show and the Managing Partner of GROCO.com.  GROCO is a premier family office and tax advisory firm with clients all over the world.

 

 

GROCO.com is a proud sponsor of The American Dreams Show.

 

 

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