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comment by wasoxygen
wasoxygen  ·  3798 days ago  ·  link  ·    ·  parent  ·  post: Hubski, what's your political persuasion?

While researching California's Paid Family Leave plan, I saw this on Wikipedia:

    One potential problem is that a substantial portion of the state's income comes from income taxes on a small proportion of wealthy citizens. For example, it is estimated that in 2004 the richest 3% of state taxpayers (those with tax returns showing over $200,000 in yearly income) paid approximately 60% of state income taxes.

This arrangement contributed to a budget crisis when capital gains tax income fell along with the stock market.

The flat tax idea enjoys a lot of support, and is practiced more-or-less in a few places. It is still interesting to talk about, even if it is not likely to come into existence. I would be curious to know how close your 20% figure would come to generating the same amount of tax revenue.





b_b  ·  3798 days ago  ·  link  ·  

If you'll remember back in the '96 election, Bob Dole's supporters all had signs that simply said "15%". I guess at that time, that's what the supposedly revenue neutral figure was pegged at.

thenewgreen  ·  3798 days ago  ·  link  ·  

    I would be curious to know how close your 20% figure would come to generating the same amount of tax revenue.
I would too, but I'll be damned if I have the time to find out. I assure you, it's not laziness. .....(walks away to take a nap).
wasoxygen  ·  3798 days ago  ·  link  ·  

The analysis seems to be messy depending on the assumptions made about how the change would affect peoples' behavior and how much tax evasion would occur, but the estimates are in the 22% to 28% range, with a few higher.