If you think you are paying less than 50% of your income out in some form of taxes you are mistaken.
Read this and weap...
How much tax do we really pay?
Item Rate Notes
Federal personal income tax 17% Top 25% rate. It ranges from a credit up to well over 40%. Source
State & local income taxes 10.1% State taxes range from under 6% to over 12%. Local taxes run from zero to 2.75%. Source, source, source2008 source
Sales tax 8.6% Figure is the average rate. State sales taxes range up to 7% and local taxes run from zero to over 5%. Source, source, source
Social security & Medicaid 7.65% Total rate is actually 15.3% since half is paid by the employer, but we're ignoring that to be kind. Source, box 1
Federal corporate income tax share 3% Based on corporate taxes being approximately 1/6 of personal taxes, and that they are paid by individuals in the final analysis. Source
Property tax 2.5% Yearly average actual costs range from under $200 in Alaska to almost $1900 in New Jersey. Source
Fuel/gasoline tax .5% Approximately 23% of the 2005 gasoline price is for federal & state taxes. The federal excise tax is 18.4 cents per gallon. Per the CPI, about 6% of the average budget is for transportation. Estimated. Source
Other 5% Includes estate tax, fees, licenses, inflation losses, inheritance, deficit allowance, gift, and others too numerous to mention. Estimated.
Total tax percentage paid by the above average US citizen, 2005 - 54.4%
Note 1: the total tax paid is closer to 46-48%, since the figures above do not distinguish between taxes on gross and net income. Note also that the Tax Foundation's numbers are closer to 34% for the actual "average" US citizen.
Note 2: Inflation effects are likely quite understated - if actual inflation is 6% and one is only earning 4%. the tax rate is not the main issue.
Note 3: This page is not intended to be definitive and completely accurate on tax rates and issues - to do so would be virtually impossible considering all the factors. Its primarily intended to show a fuller picture than is normally presented.
A partial list of the various ways in which citizens of the US are taxed:
* Accounts Receivable Tax
* Building Permit Tax
* Capital Gains Tax
* CDL license Tax
* Cigarette Tax
* Corporate Income Tax
* Court Fines (indirect taxes)
* Deficit spending
* Dog License Tax
* Federal Income Tax
* Federal Unemployment Tax (FUTA)
* Fishing License Tax
* Food License Tax
* Fuel permit tax
* Gasoline Tax
* Hunting License Tax
* Inflation
* Inheritance Tax Interest expense (tax on the money)
* Inventory tax IRS Interest Charges (tax on top of tax)
* IRS Penalties (tax on top of tax)
* Liquor Tax
* Local Income Tax
* Luxury Taxes
* Marriage License Tax
* Medicare Tax
* Property Tax
* Real Estate Tax
* Septic Permit Tax
* Service Charge Taxes
* Social Security Tax
* Road Usage Taxes (Truckers)
* Sales Taxes
* Recreational Vehicle Tax
* Road Toll Booth Taxes
* School Tax
* State Income Tax
* State Unemployment Tax (SUTA)
* Telephone federal excise tax
* Telephone federal universal service fee tax
* Telephone federal, state and local surcharge taxes
* Telephone minimum usage surcharge tax
* Telephone recurring and non-recurring charges tax
* Telephone state and local tax
* Telephone usage charge tax
* Toll Bridge Taxes
* Toll Tunnel Taxes
* Traffic Fines (indirect taxation)
* Trailer Registration Tax
* Utility Taxes
* Vehicle License Registration Tax
* Vehicle Sales Tax
* Watercraft Registration Tax
* Well Permit Tax
* Workers Compensation Tax
Oil industry profits are less than the taxes they pay
History of Federal Individual Income Tax Rates
IMPORTANT!
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