SUBSCRIBE TO OUR FREE NEWSLETTER
Daily news & progressive opinion—funded by the people, not the corporations—delivered straight to your inbox.
5
#000000
#FFFFFF
5
#000000
#FFFFFF
War Is Peace. Freedom Is Slavery. Ignorance Is Strength. Tax Cuts Generate Revenue
Jun 02, 2011
The political system may be different from Orwell's time, but the corruption and propaganda remain. We all have to 'sacrifice' to balance the budget. As Time Magazine wailed: "Do the nation's leaders have the courage to cut health entitlements or Social Security?" And the horses say, "We will work harder."
But the wealthiest individuals and corporations are not paying their taxes. They say they are. The richest Americans complain that they're paying most of the federal income taxes, and that's true. But since 1980 their AFTER-TAX share of America's income has TRIPLED. That's a trillion dollars a year in extra income for the wealthiest 1%. Their federal income tax rate has gone DOWN during that time, from 34% to 23%.
If they're paying most of the federal income tax it's because they make almost all the money.
The wealthiest 125 U.S. corporations, meanwhile, paid only 10% in U.S. income taxes last year. They claim that a lower tax rate will generate more tax revenue.
Here are the facts about corporate tax rates. Over the past 50 years the marginal rates for top corporations have steadily fallen, from over 50% to 35%. But according to the U.S. Office of Management, the corporate share of total tax revenue has dropped from about 20% in the 1960s to under 9% in 2010. Average Americans have made up most of the difference.
What the very rich won't admit is that they benefit the most from government-funded research, national security, infrastructure, property rights, and a financial industry tailored to their pleasure and profit. They insist that anyone can share in the prosperity, if only, like the horses, they keep working harder.
Why Your Ongoing Support Is Essential
Donald Trump’s attacks on democracy, justice, and a free press are escalating — putting everything we stand for at risk. We believe a better world is possible, but we can’t get there without your support. Common Dreams stands apart. We answer only to you — our readers, activists, and changemakers — not to billionaires or corporations. Our independence allows us to cover the vital stories that others won’t, spotlighting movements for peace, equality, and human rights. Right now, our work faces unprecedented challenges. Misinformation is spreading, journalists are under attack, and financial pressures are mounting. As a reader-supported, nonprofit newsroom, your support is crucial to keep this journalism alive. Whatever you can give — $10, $25, or $100 — helps us stay strong and responsive when the world needs us most. Together, we’ll continue to build the independent, courageous journalism our movement relies on. Thank you for being part of this community. |
Our work is licensed under Creative Commons (CC BY-NC-ND 3.0). Feel free to republish and share widely.
Paul Buchheit
Paul Buchheit is an advocate for social and economic justice, and the author of numerous papers on economic inequality and cognitive science. He was recently named one of 300 Living Peace and Justice Leaders and Models. He is the author of "American Wars: Illusions and Realities" (2008) and "Disposable Americans: Extreme Capitalism and the Case for a Guaranteed Income" (2017). Contact email: paul (at) youdeservefacts.org.
The political system may be different from Orwell's time, but the corruption and propaganda remain. We all have to 'sacrifice' to balance the budget. As Time Magazine wailed: "Do the nation's leaders have the courage to cut health entitlements or Social Security?" And the horses say, "We will work harder."
But the wealthiest individuals and corporations are not paying their taxes. They say they are. The richest Americans complain that they're paying most of the federal income taxes, and that's true. But since 1980 their AFTER-TAX share of America's income has TRIPLED. That's a trillion dollars a year in extra income for the wealthiest 1%. Their federal income tax rate has gone DOWN during that time, from 34% to 23%.
If they're paying most of the federal income tax it's because they make almost all the money.
The wealthiest 125 U.S. corporations, meanwhile, paid only 10% in U.S. income taxes last year. They claim that a lower tax rate will generate more tax revenue.
Here are the facts about corporate tax rates. Over the past 50 years the marginal rates for top corporations have steadily fallen, from over 50% to 35%. But according to the U.S. Office of Management, the corporate share of total tax revenue has dropped from about 20% in the 1960s to under 9% in 2010. Average Americans have made up most of the difference.
What the very rich won't admit is that they benefit the most from government-funded research, national security, infrastructure, property rights, and a financial industry tailored to their pleasure and profit. They insist that anyone can share in the prosperity, if only, like the horses, they keep working harder.
Paul Buchheit
Paul Buchheit is an advocate for social and economic justice, and the author of numerous papers on economic inequality and cognitive science. He was recently named one of 300 Living Peace and Justice Leaders and Models. He is the author of "American Wars: Illusions and Realities" (2008) and "Disposable Americans: Extreme Capitalism and the Case for a Guaranteed Income" (2017). Contact email: paul (at) youdeservefacts.org.
The political system may be different from Orwell's time, but the corruption and propaganda remain. We all have to 'sacrifice' to balance the budget. As Time Magazine wailed: "Do the nation's leaders have the courage to cut health entitlements or Social Security?" And the horses say, "We will work harder."
But the wealthiest individuals and corporations are not paying their taxes. They say they are. The richest Americans complain that they're paying most of the federal income taxes, and that's true. But since 1980 their AFTER-TAX share of America's income has TRIPLED. That's a trillion dollars a year in extra income for the wealthiest 1%. Their federal income tax rate has gone DOWN during that time, from 34% to 23%.
If they're paying most of the federal income tax it's because they make almost all the money.
The wealthiest 125 U.S. corporations, meanwhile, paid only 10% in U.S. income taxes last year. They claim that a lower tax rate will generate more tax revenue.
Here are the facts about corporate tax rates. Over the past 50 years the marginal rates for top corporations have steadily fallen, from over 50% to 35%. But according to the U.S. Office of Management, the corporate share of total tax revenue has dropped from about 20% in the 1960s to under 9% in 2010. Average Americans have made up most of the difference.
What the very rich won't admit is that they benefit the most from government-funded research, national security, infrastructure, property rights, and a financial industry tailored to their pleasure and profit. They insist that anyone can share in the prosperity, if only, like the horses, they keep working harder.
We've had enough. The 1% own and operate the corporate media. They are doing everything they can to defend the status quo, squash dissent and protect the wealthy and the powerful. The Common Dreams media model is different. We cover the news that matters to the 99%. Our mission? To inform. To inspire. To ignite change for the common good. How? Nonprofit. Independent. Reader-supported. Free to read. Free to republish. Free to share. With no advertising. No paywalls. No selling of your data. Thousands of small donations fund our newsroom and allow us to continue publishing. Can you chip in? We can't do it without you. Thank you.