The problem is that taxation rates go far beyond the % the IRS & state take away. The low wage earner spends much more income (as a % of total) on everyday needs... all these items are taxed (sales), and their manufacture/shipping/distribution/retail sale are taxed as well!
Or, better yet.. if I make 1/2 mil a year and don't spend frivilously, but do "live good", maybe 15-20% of my income goes to things like cars, travel, recreation, entertainment, dining, groceries, etc.
Conversely, if I make $20K and have a kid & wife to support, a LOT of my money (perhaps all after taxes and housing cost) is going into goods and services. My point? Those goods and services have been taxed in every way shape and form, affecting their price... the price is, of course, passed on to the consumer.
As such, I don't think the argument of a poor person facing a 9% federal tax rate vs 33% for a rich person holds much water.
By the way, what will the rich guy do with his/her excess income? Invest it wisely in securities, bonds, real estate, etc... that is taxed too... when they sell it (aside from property tax)!
Or, better yet.. if I make 1/2 mil a year and don't spend frivilously, but do "live good", maybe 15-20% of my income goes to things like cars, travel, recreation, entertainment, dining, groceries, etc.
Conversely, if I make $20K and have a kid & wife to support, a LOT of my money (perhaps all after taxes and housing cost) is going into goods and services. My point? Those goods and services have been taxed in every way shape and form, affecting their price... the price is, of course, passed on to the consumer.
As such, I don't think the argument of a poor person facing a 9% federal tax rate vs 33% for a rich person holds much water.
By the way, what will the rich guy do with his/her excess income? Invest it wisely in securities, bonds, real estate, etc... that is taxed too... when they sell it (aside from property tax)!