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Curtis Dubay of the Heritage Foundation weighs in on the Buffett Rule and the fair share.
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Day two of our series tax -- focusing on the Buffett rule that 30% minimum tax rate on gross adjusted income over a million dollars.
Less charitable contributions.
Is it possible and Democrats have their way that the Buffett rule could become law Curtis debate senior tax policy -- -- Heritage Foundation.
Joins me on this is all about the fair share -- personal talk about the likelihood of the bop a role.
We're turning and becoming a lot because of sequestration how likely is -- Chris.
Well fortunately it's not that likely but I mean this is just an example of how bad ideas and Washington never -- let -- -- you -- back again and again and again.
Force I don't think it's likely to -- near future.
You know if you look at what is the quote -- quote the fair share I mean overall 70% of federal income that is paid into the system comes from 10%.
Taxpayers out there and then if you look at the bottom percent.
Completely different story the bottom 20% V zero -- incoming federal taxes overall 47%.
Pay next to nothing so.
That this disparity why is the message not gotten across and Washington that there isn't -- -- seeing who is paying the most in dollar amount.
Well these this data's not there for awhile so a lot of them and talking about it but I think it's just ended present Obama's narrative he wants more revenue.
To fund more government spending it's easier to raise tax on registers there's no doubt about that so he's been hammering that message for for a long time now.
He's done -- big big tax increase on rich.
I obamacare was a huge tax increase a trillion dollars over ten years mostly fell on higher income Americans -- -- -- -- -- another major tax increase on the -- In fact the liberal test policy center now says that the average tax -- for the top 1% is 36% of the -- rules are ready largely in place.
Do you think that there could be a penalty with regards to filing whether you're married or single that -- something else that's being bantered around.
But Democrats right now with regards to the Buffett rule -- -- -- of the buffer rule if you will do you think that that is seriously on the table.
I don't know I haven't heard too much about it because they didn't really ever specify what the Buffett rule -- they said it would be over -- comes up over a million dollars.
What does that mean per text turner does it mean her per person filings it -- -- -- -- single filer.
It would be a million but you double that for first a married couple.
It's sustained significant -- -- they did introduce various counties in in terms of the disk in terms of the -- the new investment tax.
On investments over 250000 dollars so I wouldn't put it past that happened but we it remains to be seen.
I was looking at some research at The Heritage Foundation your group actually did on this issue and -- calculations show and I think this is fascinating.
That taxpayers with -- just -- gross and come of a million to one point five million would be hit hardest by this new tax increase they pay an average almost 67000.
Dollars.
More in taxes per year because of the buffet.
Roll.
Right yeah and think that these are mostly business owners.
When -- -- debt levels could come here mostly nobody is business income.
You take away 67000 dollars -- a year that's one more job well above the median income that they can that they could create.
Offered investors -- it's that's almost every thousand dollars that they can invest in a promising -- business I could create many more than one than one job so it's a hit job creation and I think everyone agrees that one of the main crisis we had a date is job creation its fuel and isn't it inequality that were also concerned about.
But if we do race has -- -- to the -- rule we're going to reduce opportunity for middle class and low income Americans.
Middle class and we will have less likely to to find that great new job health some five that the new home move into the -- neighborhood to provide better educated for their child.
And make it harder for lower income Americans to get that their first job to help some -- -- skills and experience they need to -- come matter later in life.
You have financing you know I mention the still of the top 10% pay 70% of the income at the federal level that's coming again.
1986 -- you probably know this.
That was 55%.
-- and -- so that incumbent met federal and come into the coffers which congress continues to up.
Spend it well frankly I has gone up for the top 10% of earners in this country and it includes small businesses all right Curtis.
They -- very much -- for joining me on this -- affects a lot of people.
They've gotten record.
