The Buffett Rule, 6/100ths of one percent.

[kd5rjz]

Well I guess we'll have to do something smart then, like stop getting involved in retarded wars and stop having a huge military for no reason. Maybe stop giving aids to countries no one cares about and quit giving welfare and foodstamps to lazy freeloaders.

Nah, let's just keep whining about alternative energy and legislating morals.

 

[jfssms]

Income tax withholding is a payroll tax. Now on to those finer points.

OK, what are the finer points?

 

[LightningCrash]

OK, what are the finer points?

HMFIC should be along soon to educate us.

 

[jfssms]

HMFIC should be along soon to educate us.

OK, you got nothing.

 

[LightningCrash]

OK, you got nothing.

I got you babe.

 

[soonerwings]

OK, what are the finer points?

Now hold on there mister....not so fast. The original statement was that 47% of Americans pay no INCOME taxes. FICA is not an income tax. True, both income and FICA are different types of payroll taxes (I'll grudgingly concede that) but that does not mean that FICA is the same as income tax. All squares are rectangles, but not all rectangles are squares...follow?

All this aside...I really DO want to hear about these finer points.

 

[LightningCrash]

Now hold on there mister....not so fast. The original statement was that 47% of Americans pay no INCOME taxes. FICA is not an income tax. True, both income and FICA are different types of payroll taxes (I'll grudgingly concede that) but that does not mean that FICA is the same as income tax. All squares are rectangles, but not all rectangles are squares...follow?

FICA != Individual Income Tax.

FICA, however, is an income tax. There are many types of income taxes: Corporate, Individual, Payroll, Inheritance, etc. Oh and Capital Gains.

Of course in the extreme-right worldview, anyone who doesn't pay individual income tax is a freeloader, even if they pay millions in the other tax types.

 

[soonerwings]

Income tax withholding is a payroll tax. Now on to those finer points.

Perfectly true. Income tax withholding is a PAYG payroll tax. FICA is plain old payroll tax.

First you say that income tax is a type of payroll tax and now you say that payroll tax is a kind of income tax. Which is it?

 

[soonerwings]

Further research (wikipedia) has been inconclusive. The article on payroll taxes lists income taxes as a type while the article on income taxes lists payroll taxes as a type.

One argument in the FICA article points out that some people claim that it isn't a tax at all since it's tied to a benefit. I'm not sure I buy this argument just yet as all taxes are supposed to be for public benefit. I know....stop laughing.

The complicated mess that is our tax code blatantly violates the "transparency" criteria associated with a good tax system. Wait a sec...it violates the "efficient" and "fair" criteria too. In summation, it violates 3 of the 4 commonly held criteria that are necessary for a good tax system.

Yikes.

 

[LightningCrash]

First you say that income tax is a type of payroll tax and now you say that payroll tax is a kind of income tax. Which is it?

I was significantly more specific than that. Please see my last post.