Tuesday, October 4, 2016
Bloomberg, How the IRS Helps the Rich Get Richer:
The top 1 percent gets the most from federal tax breaks, a new report shows, fueling election-year outrage over income inequality. ...
The top 1 percent of Americans as measured by income rake in 17 percent of all U.S. income on an annual basis—before taxes, of course. And that caveat is important, according to a new analysis by the Tax Policy Center (TPC), because that select group of citizens gets 27 percent of the tax breaks doled out by the federal government.
The TPC’s calculations show an estimated $1.17 trillion in federal revenue last year going to individual tax expenditures. ... While the wealthy see an outsize benefit compared with their share, the lowest-income households get just about 4 percent of federal tax breaks, close to their portion of all pretax income. That same trend holds for taxpayers in middle- and upper-middle-income households.
Those 1.1 million folks in the 1 percent, as measured by the TPC, have annual income that averages a little less than $700,000. The top one-tenth of that group, some 110,000 households, average about $3.6 million