A USA Today analysis reported on Friday that Americans are paying the smallest share of their income on taxes since 1958.
According to Bureau of Economic Analysis data, the total tax burden – for all federal, state and local taxes – dropped to 23.6% of income in the first quarter. The paper reports that by contrast, individuals spent approximately 27% of income on taxes in the 70’s, 80′ and 90’s.
These numbers come out as Republicans and Democrats in Washington discuss how to deal with the burgeoning federal debt and deficit – yet most Republicans says somehow the urgency of our fiscal condition can only be addressed by cutting spending, and not raising taxes.
This article appears in May 5-11, 2011.
