Who Pays the Highest Marginal Tax Rates?
Who Pays the Highest Marginal Tax Rates? Friday February 8, 2008#spacer{clear:left}#abc #sidebar{margin-top:1.5em}zSB(3,3)It’s likely the working poor, as indicated by Arnold Kling in Low Income, High Marginal Tax Rate : Jeff Frankel quotes Jeff Liebman: “There are some excellent papers that carefully model how the cumulative effects of the welfare system create a poverty trap. But I dont think either of these papers includes all of the factors facing the woman above so they would probably indicate that she faced a 60 percent marginal tax rate rather than the 130% (or whatever it really is) rate that she actually faces. The problem is that when a poor person starts earning income, he or she loses eligibility to a variety of in-kind benefits, especial
#spacer{clear:left}#abc #sidebar{margin-top:1.5em}if(zs>0){zSB(3,3)}else{gEI(“spacer”).style.display=’none’;gEI(“sidebar”).style.display=’none’}It’s likely the working poor, as indicated by Arnold Kling in Low Income, High Marginal Tax Rate : Jeff Frankel quotes Jeff Liebman: “There are some excellent papers that carefully model how the cumulative effects of the welfare system create a poverty trap. But I dont think either of these papers includes all of the factors facing the woman above so they would probably indicate that she faced a 60 percent marginal tax rate rather than the 130% (or whatever it really is) rate that she actually faces. The problem is that when a poor person starts earning income, he or she loses eligibility to a variety of in-k
Related Questions
- How will this new tax affect marginal (the highest) tax rates when it is combined with existing law and with the possible expiration of the Bush tax cuts enacted in 2001?
- What are marginal income tax rates and why was President Bush so adamant about lowering marginal tax rates in the 2001 tax cut?
- What Are Marginal Tax Rates?
