This is how income tax was sold to the American public. When it originally started it really only did effect the top earners, but as the years rolled on and inflation happened it impacted more and more people. The reality is these tools that target only the 'wealthy', if they're successful are used to target everyone.
[–] johnnyanmac 3 hours ago
an AMT is never going to affect Joe with a middle class life, 1 job, a family of a wife and 2 kids, and maybe some retirements savings. There's nothing more to take and it's purely a tool of coporate greed that he has to pay $200 for an accountant to fill out a form of taxes owed that the IRS already has. These kinds of measures will never affect Joe.
[–] myersj 11 hours ago
1 - https://www.irs.gov/statistics/soi-tax-stats-tax-stats-at-a-...
[–] toomuchtodo 11 hours ago
This is also why California is voting on a wealth tax.
Wealth Inequality in America drawn to scale - https://news.ycombinator.com/item?id=50270764 - October 2026
The 'Buy, Borrow and Die' Wealth Strategy Has Become a $5T Market - https://news.ycombinator.com/item?id=50253630 - October 2026
Warren Buffett has been saying this for years, that his secretary was taxed at a higher effective rate then him.
Billionaire Warren Buffett Calls It 'Outrageous' His Secretary Pays 2x's His Tax Rate – 'If This Is A War, My Side Has The Nuclear Bomb' - https://finance.yahoo.com/news/billionaire-warren-buffett-ca... - December 16th, 2024
- He explained, "I don't pay hardly any payroll taxes. Gov. Romney hardly pays any payroll taxes. Newt Gingrich hardly pays any payroll taxes." Driving the point home, he emphasized the disparity: "Debbie pays lots of payroll taxes."
- Buffett's effective tax rate was 17.4% at the time, largely due to his income coming from capital gains, which are taxed much lower than ordinary wages. Bosanek, like many middle-class Americans, was paying nearly 36% when payroll and income taxes were combined.
- According to a CBS News report, Buffett quickly clarified that he didn't blame Romney for following the law. "I don't blame Gov. Romney for paying the tax rate he paid," Buffett said. "I blame the U.S. Congress."
- The disparity didn't bother Buffett – it drove him to advocate for sweeping changes to the tax code. In an op-ed for The New York Times, he argued for what would become known as the "Buffett Rule," a proposal to implement a minimum 30% tax on incomes exceeding $1 million. President Obama backed the idea, but opposition in Congress kept it from moving forward.
"Inflation brought everyone into the taxable income brackets" has very little to do with it. A significant portion of the population still doesn't make enough income to pay federal tax.
Taxes are unpopular. The government has no reason to "target everyone" because that's an easy way to get voted out.