Top marginal tax rate in US now ~65%

[regexcellent]

Sales tax. FICA withholding.

[kentonio]

How do you even pay taxes? You earn less than most 18th century chimney sweeps.

[Ben Kenobi]

The only tax increase I'll see will be from payroll taxes (4400 dollars or so on my end, and 4400 total from my employer and my wife's employer).

Which is going to **** me over. Despite all the grandstanding here - those not earning that much are going to see large jumps in their tax rate too. That is, only if they happen to work. This is bad.

[Ben Kenobi]

Since the tax rate as a percentage of GDP is so low, I figure you must be upset about how taxes in the US are levied (not enough towards capital gains/consumption)?

As always, low compared to what? Europe? It's not a good argument that arguing that the US is less bad than Europe is a flaw of the present system. Why do we want to copy Europe and their failed policies?

[Ben Kenobi]

The US welfare state is doomed when children like yourself refuse to acknowledge simple mathematics and focus on political theater.

Even if we assume the tax grab will generate revenue (it won't), it still doesn't close the budget gap. The Budget gap will get worse. Entitlements have to be cut, and this just kicks the can down the road.

The good thing is that the consequences of this aren't likely to be felt until 2020. Good for Obama, et al, they won't be around. The bad news - 2020 isn't that far off anymore.

[KrazyHorse]

Broaden the base, lower the rates. And get rid of all capital gains taxes.

[Jon Miller]

I wonder what the top marginal tax rate is in other countries?

JM

[Jon Miller]

Since the tax rate as a percentage of GDP is so low, I figure you must be upset about how taxes in the US are levied (not enough towards capital gains/consumption)?

JM

[regexcellent]

**** the middle class. Or at least the concept of middle class entitlements. The middle class in this country is ****ing pampered, at the expense of the rich and the poor.

[Dinner]

EAT THE RICH

I hear they're rather fatty and high in cholesterol.

[KrazyHorse]

Luckily the fiscal cliff deal basically has no impact on my taxes, given that the amt remains the binding constraint. The only tax increase I'll see will be from payroll taxes (4400 dollars or so on my end, and 4400 total from my employer and my wife's employer).

It will increase the amount that's withheld because that's usually based off the regular tax system.

[Lonestar]

EAT THE RICH

[KrazyHorse]

That's a bastardization of the origin of the phrase, and contributes to the already prevalent notion among supposed leftist intellectuals that behavioral response to tax rates are minimal by creating a false dichotomy.

[giblets]

Who needs to go galt? If you don't think that marginal rates of 65% will make people go Galt then you're an idiot.

FTFY

The use of Galt as a symbol in the context of political or social protest has taken root in some places. The phrase "going John Galt" or simply "going Galt" has been used by psychologist Helen Smith[12] and others[13][14] to describe productive members of society cutting back on work in response to the projected increase in U.S. marginal tax rates, increased limits on tax deductions, and the use of tax revenues for causes they regard as immoral. Some people who claimed to be "going John Galt" discussed their reasons on a PJTV program in March 2009.[15] "Who is John Galt?" signs were seen at Tea Party protests held in the United States and at banking protests in London in April 2009.[16] Ron Paul's American presidential campaign of 2008 included a play on the phrase, using "Who is Ron Paul?" on campaign T-shirts; his Congressional web site biography uses the same title.[17]

"Going galt" may take a variety of forms. These include earning less taxable income, reducing expenses in order to reduce the payment of sales tax, civil disobedience, or various actions to prepare for a hypothetical collapse.[14]

http://en.wikipedia.org/wiki/John_Galt

[KrazyHorse]

His fear is they're all going to go Galt now.

Who needs to go galt? If you don't think that marginal rates of 65% will in the long run dramatically impact behavior then you're an idiot. Further, even if it didn't, the amount of money this will raise is a joke.