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Friday, February 24, 2006

The average tax burden myth

Posted by: Hammer / 2:22 PM

I've said this myself a few times, but Nathan Newman says it better:

Watch out when you hear corporate conservatives talking about the "average" tax burden in any state, since they are usually ignoring the actual tax burden on working families. Since wealth is so skewed, states that tax wealthier citizens often increase their "average" tax rate without increasing the burden on your average taxpayer.

Newman provides this example -- "high tax" California imposes no income tax at all on a family of 4 earning up to $42,700 a year. "Low tax" Alabama imposes its income tax on a family of 4 earning as little as $4,600. Of the 42 states with an income tax, 19 of them tax impoverished families.

Minnesota, to our credit, does not make this ignominous list: Alabama, Hawaii, Indiana, Louisiana, Michigan, Montana, and West Virginia.


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