- #71
daveb
- 549
- 2
Romney was very careful to say 60% of collected revenue. If taxes for the middle class go down, then total revenue will decrease unless someone else makes up the difference. If revenue decrease, then the upper income workers will pay a higher % of revenue collected. So saying they will continue to pay 60% sounds like he means their taxes will decrease also (by some unspecified amount).
So let's look at some hypothetical numbers. Suppose the government collects 1 trillion dollars now from 100 million people. The rich (1% is 1 million) pay (collectively) 600 billion, and the rest pay 400 billion. If taxes are cut 20% (total collected now 800 billion) and the elimination of deductions occurs such that the rich continue to pay 60% of what is collected, the rich would pay 480 billion, and the rest would pay 320 billion.
That's a savings of 120 billion for the rich, spread over a small number ( average 120,000 per person), and 80 billion for the rest of us spread over a larger number (average 808 per person).
Of course this is a very simplified look at things, but it points out that from an individual perspective, the rich get a larger tax break than the middle class (the point the democrats make).
So let's look at some hypothetical numbers. Suppose the government collects 1 trillion dollars now from 100 million people. The rich (1% is 1 million) pay (collectively) 600 billion, and the rest pay 400 billion. If taxes are cut 20% (total collected now 800 billion) and the elimination of deductions occurs such that the rich continue to pay 60% of what is collected, the rich would pay 480 billion, and the rest would pay 320 billion.
That's a savings of 120 billion for the rich, spread over a small number ( average 120,000 per person), and 80 billion for the rest of us spread over a larger number (average 808 per person).
Of course this is a very simplified look at things, but it points out that from an individual perspective, the rich get a larger tax break than the middle class (the point the democrats make).