Thursday, March 11, 2010
The Tax Foundation has published Record Numbers of People Paying No Income Tax; Over 50 Million "Nonpayers" Include Families Making over $50,000:
A record number of the 142 million tax returns filed in 2008 resulted in no tax payment, according to a Tax Foundation analysis of IRS data. That means the tax filers got back every dollar that had been withheld from their paychecks, and often more. Roughly 51.6 million tax returns, or 36.3 percent, were filed by such “nonpayers,” people whose exemptions, deductions and credits wiped out any federal income tax due.
A family of four earning more than $50,000 can have no income tax liability after taking the standard deduction and the child tax credit.
“Two records were set in 2008: the most nonpayers and the highest-earning nonpayers,” said Tax Foundation President Scott Hodge.