The Slightly Progressive Payroll Tax

Max Sawicky sawicky at epinet.org
Mon Apr 24 09:54:33 PDT 2000


I tell people the numbers show the payroll tax is progressive thru the 9th income decile and they call me nuts. Well they will find some other reason to call me nuts, lord knows there are a couple, but CTJ has just put out a "Tax Day 2000" paper with that very same result.

Their tables show the payroll tax is progressive thru the fourth quintile (they don't show deciles) for all taxpayers.

Also amusing is CTJ's response to the Tax Foundation's "Tax Freedom Day" idiocy.

Turns out that for the middle quintile of taxpayers, "Tax Freedom Day" (the day their income accumulates sufficiently to offset their imputed annual income tax liability) is January 21.

The piece is not up on their web site yet, but it should be any time now: http://www.ctj.org

mbs



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