If it is illegal to remove income as taxable income, it is not a crime.
You have no idea what you are saying, you are just ranting about rich people you don't think are paying enough in taxes. Of course if it is illegal to remove income as taxable income it is a crime. That's BY DEFINITION. Do you have any evidence that those awful rich people are doing this, or is it just conjecture on your part? If you have evidence, report it to the IRS. I think they have a bounty for such things, but even if they don't, it is your responsibility as a citizen to report it. Don't just whine about it.
If you have no intention of acknowledging facts, don't try to debate.
I showed you the facts. The link I provided showed you were wrong. Where's your data?
It is potentially taxed income
You have a problem sticking with the terms you use. You said it was "potential income", not "potentially taxed income." Which is it?
This is why the tax code assumes "potential" while determining what your tax rate is.
That is complete and utter nonsense. There is no "potential income" line on the tax form. There is "total income", "adjusted gross income", and "income subject to tax". The tax rates are based on "income subject to tax". That's not a "potential income", it's based on actual income. The total income has nothing to do with your tax rates, which is what I think you are trying to refer to as "potential income", but there is no "potential" about it. Either it is or it isn't. If a rich person, no, if ANY person isn't writing down all the income on his tax form, it is a crime. If you have proof someone is doing that, report it. Just assuming it happens is a waste of everyone's time.
Guessing? How about basic common sense.
You're guessing at how much a rich person puts in this "tax account". There is no "common sense" to tell you that, you'd have to ask the rich people.
If you spend $2.00 purchasing a $1.50 coupon,
I'm not spending anything when I put money in an account. I still have it, it's there for me to withdraw when I want to. If I'm putting it into a "tax account" as an escrow for future taxes, well, that doesn't change how much tax I'll owe, only that I'll be sure to make some interest on it while I'm holding it.
If, by some odd chance, you are referring to an IRA of some kind by "tax account", then you're still wrong. Then the rich person truly is using $100,000 to get no benefit. His deductions for this money go away as his income goes up and if he has a qualified retirement plan. I am hardly in the top 5% even, but I am high enough up the scale that my allowed contribution is exactly $0. An IRA truly is a poor-person's benefit -- another example of you complaining about a deduction that the rich can't take but the poor can, just like the "per person" dependent deduction and child tax credit.
You never showed my numbers were upside down,
I pointed you to the link that showed you they were. Since you didn't bother to look, let's review, shall we? You said, and I quoted this in my response: "Wealthy people pay 8-10% tax on average while you and I pay 35-40%." I provided a link to here, which you apparently did not bother to look at. In that data for 2009, it shows the following facts:
- The average tax rate for the top 1% was 24.01%
- The average tax rate for the 25% to 50% level was 5.58%
- The average tax rate for 10% to 25% was 8.23%
- The average rates for lower income brackets were smaller.
Now, I don't know what tax rate you fall into, but the data clearly shows that while you claim that "wealthy" pay only 8-10%, they really pay 24.01%. And the "you and I" pay anywhere from 6-11% (and that covers from $32k through $154k AGI). So, your numbers are upside down. Wrong.
I can't say what you individually paid in taxes for 2009 (or this year, for which data is not available yet), but the average rate was well below your %35-40%. Mine was about 14%, and I was not aggressive in finding deductions. If your's was significantly higher, I suggest you hire a tax accountant to find the deductions that you aren't taking because you think only the rich can take them.
you used rhetorical fallacy to claim that your numbers override facts.
That's funny. I pointed you to the facts that back up my statements. So far, all you've done is pull numbers out of your rectum and claim I'm fudging things. Do you have a cite for anything you've claimed? Do you have facts or just a pathetic hatred for people who are more successful than you?
To claim the rich pay a higher percentage in tax you must also believe Hollywood accounting that shows block buster movies lose money.
It is simple data traceable to the IRS. You can get it yourself and see, if you care about the truth. If you just want to keep up a diatribe against those awful law-breaking tax-cheating rich people, well, have at it. I've shown you the numbers, you can choose to understand them or not.
It's legal because people are on average pretty ignorant and believe everything they are told.
It's legal because the law makes it so. It is the same law for poor people and rich people. It appears you've grabbed on to something you've been told and are reluctant to look at the real numbers. You've are believing everything you are told, except the truth that has citations to back it up.
Fuck, even rich people tell you the system is grossly unfair. Or wait, I guess Warren Buffet is a liar too right?
Your profanity serves no purpose other than make you look childish. Warren Buffet has some motive for making the false statements he makes, but I don't know what they are. I proposed two different possibilities, one of which I believe and one I don't. It was simple math. You could get the data and calculate it yourself to see. And, as always, you could ask Warren Buffet if he thinks the tax code is so unfair why he isn't paying his secretary's taxes for her and then sending in an extra contribution for himself to make things fair on his own. The fact he doesn't tells me he doesn't really think it is unfair.