Why Is Almost Half the Country Paying no Federal Income Tax?

Close,Up,Photo,Of,Amazed,Wondered,Interested,Girl,Contemplating,Something

One of the biggest tax debates that will likely always exist is whether or not the nation’s wealthy are paying enough in taxes? It’s easy for some to argue that they don’t but there are many factors that must be considered. Plus, all the while, nearly half of the country’s would-be taxpayers don’t actually pay any federal income tax at all. No, they aren’t guilty of tax fraud. These Americans are doing something that is perfectly legal and quite common.

In fact, would you be shocked to know that many of these individuals not only don’t pay any federal income tax, but they still receive a refund? According to the Tax Policy Center, it’s estimated that more than 45 percent of Americans owed no federal income taxes for 2015. According the Center, the number of total households that fall into this category has been increasing each year since 2011.

Some might think many of the wealthiest taxpayers are included among the more than 77 million people who fall into this category in 2015, but they don’t. About half of these households have no taxable income, period, and the other half qualify for enough tax breaks to help offset the amount they would owe. Therefore, these are individuals with a negative tax rate, not the nation’s highest earners.

The wealthiest 20 percent of the country, meanwhile, pays almost 87 percent of the nation’s entire federal tax bill. So, next time you hear someone claim that the wealthy don’t pay enough in taxes, just consider these numbers from the Tax Policy Center.

Posted in

Rob Ryan’s Amazing Movie Premiere June 28th on How He Saved the Internet

The Hollywood movie premiere of the Rob Ryan story is a cinematic tribute to innovation.  This remarkable film documents the real-life journey of this visionary from crisis to triumph and how he saved the internet!  On June 28th at 9:30 PM in the iconic Chinese Theatre.   Rob Ryan, Founder of Ascend Communications discusses the…

Early Detection Saves Lives with Steve Marler

Steve Marler, Founder of Advanced Longevity discusses how early detection can save lives and overcoming a broken healthcare system on Alan Olsen‘s American Dreams Show. Transcript: Alan Olsen Welcome to American Dreams. My guest today is Steve Marler. Steve, welcome to the show.   Steve Marler Thank you. It’s great to be here.   Alan Olsen So Steve,…

Mark Sadovnick Talks Leadership, Authenticity, and Making an Impact

Mark Sadovnick Talks Leadership, Authenticity, and Making an Impact

Mark Sadovnick, Managing Partner at 5th Element Group discusses leadership, authenticity, and making an Impact on Alan Olsen‘s American Dreams Show. Transcript: Alan Olsen Welcome to American Dreams. My guest today is Mark Sadovnick. Nick, Mark, welcome to today’s show.   Mark Sadovnick It’s great to be here. Alan, thanks for inviting me.   Alan Olsen So, Mark,…

Preserving My Family’s Life’s Work & Legacy

Tom Chatham, Chairman of Chatham Created Gems & Diamonds, Inc., discusses preserving his family’s legacy and life’s work on Alan Olsen‘s American Dreams Show.   Transcript: Alan Olsen Welcome to America dreams. My guest today is Tom Chatham. Welcome to today’s show.   Tom Chatham Thank you glad to be here.   Alan Olsen So, Tom, we’ve had…