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Are we already soaking the rich?

As someone who believes in soaking the rich, I found this report  from the Congressional Budget Office to be a bit of an eye-opener.

Higher-income groups pay a disproportionate share of federal taxes because they earn a disproportionate share of pretax income and because effective tax rates rise with income.

In 2006, the highest quintile earned 55.7 percent of pretax income and paid 69.3 percent of federal taxes, while the top 1 percent of households earned 18.8 percent of income and paid 28.3 percent of taxes.

In all other quintiles, the share of federal taxes was less than the income share. The bottom quintile earned 3.9 percent of income and paid 0.8 percent of taxes, while the middle quintile earned 13.2 percent of income and paid 9.1 percent of taxes.

The five-page report is a little dry, but has some other interesting facts and tables. It held my attention, anyway. Given that your federal tax returns are due next Wednesday, it might be worth a read.

Regardless, this is worth a look. Hit it, George (with a little help from his friend, EC).

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Taxes
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