Monday, March 17, 2008

Can this be right?

I'm not good with numbers or money. Luckily, 고 is and she happily taked the lead with the numbers. (Although she only beat me by four points on my IQ test 128-132. It was in English though.)

I came across this article.

Can this be right? Sid? Rodger?


sid said...

I don't do taxes, but I can see that being right. We really don't pay that much in taxes compared to other countries. Our highest tax bracket is only 35%, which is income over $357K. Plus, your taxable income, which is used to determine which bracket you are in, is after all the deductions so it is usually quite a bit less than your gross earnings. Also, it is a scale, so you don’t' pay a flat 35% on your income. For example, You pay 10% on income up to $8,250, then 15% for income from 8,025 to $32,550, etc., so your effective tax rate will be lower than the bracket you are in. You can google tax bracket and find the current year tax bracket. I am in the 25% tax bracket, but the actual percentage of my income that I paid in taxes was only 12%. So, that % seems pretty reasonable to me, especially when you take into account the amount of low income individuals and families in the lower income brackets. Rodger probably knows better though...

Rmeis said...

My computer crashed last week so i've missed out on a few posts, so now i'm catching up! but...this article seems fairly accurate...especially when you take into account that while i am in the 25% tax bracket (32.5 - 78.85K) and get taxed at that rate and then see that the "richest" people in our country 357K and above only get taxed at seems a little unproportional to me considering that our incomes are $320K apart! also you figure that you have professionals, like myself, ha.. helping the upper income individuals lower their taxable income i see a lot of truth in the chart...what is amazing to me is how S.Korea manages to be at the bottom of this list?