Quote:
Originally Posted by dogzilla
Increasing anyone's tax by 3% is going to have an adverse effect on that person because that is 3% of their money that they don't have any more. It's amazing that the inside the beltway crowd, namely Congress and Obama doesn't understand that.
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An increase in the marginal rate on middle income taxpayers -- those with little or no disposable income - probably does have an adverse effect.
There is no hard data to support the notion that the top 2 percent of taxpayers would alter their spending and/or investing patterns with a 3% increase in their marginal rate.
As I asked ace, if you have data to suggest otherwise, please post it.
And, dont forget that those top taxpayers would still benefit from the current tax rate on their first $250,000.
---------- Post added at 09:55 PM ---------- Previous post was at 09:52 PM ----------
There is also no hard data that if the rate were to remain the same for top bracket that it would be stimulative in any way...as opposed to extending unemployment insurance, which numerous studies have found results in significant stimulus - nearly $2 for every $1 in UI.