5 degrees of financial separation

[prawn_86]

Quite a good article available here looking right through the income spectre of the USA

http://www.gq.com/news-politics/big-issues/201207/amber-waves-of-green-jon-ronson-gq-july-2012

 

[Gringotts Bank]

Re: 5 degrees of financial seperation

"But the reality is that rarely are enemies of the state treated so well. Except for a brief stint in the late '80s and early '90s, their tax rate is at an eighty-year low. In the 1940s and 1950s, the top tax bracket paid more than 80 percent. It was 70 percent when Reagan took offlce, 40 percent under Clinton, and now, under Obama, it's 35 percent. But the very, very rich don't pay even that. By taking full advantage of an investor-friendly tax code, which takes a much smaller bite out of capital gains and dividends than it does for salaried income, the 400 richest Americans pay, on average, 18 percent tax".

Is this true?

 

[prawn_86]

Re: 5 degrees of financial seperation

"But the reality is that rarely are enemies of the state treated so well. Except for a brief stint in the late '80s and early '90s, their tax rate is at an eighty-year low. In the 1940s and 1950s, the top tax bracket paid more than 80 percent. It was 70 percent when Reagan took offlce, 40 percent under Clinton, and now, under Obama, it's 35 percent. But the very, very rich don't pay even that. By taking full advantage of an investor-friendly tax code, which takes a much smaller bite out of capital gains and dividends than it does for salaried income, the 400 richest Americans pay, on average, 18 percent tax".

Is this true?

If your talking about the 18% tax, then yes. Warren Buffet has publicly stated he pays a lower % than his secretary who earns <100k pa

 

[Gringotts Bank]

Re: 5 degrees of financial seperation

That's a sad state of affairs.

Interesting article.