April 13, 2004 04:02 PM | Permalink |
Combined federal, state and local taxes in 2004 will take only a slightly higher share of the income of the very richest Americans than the average for all other income groups, according to a new analysis released by Citizens for Tax Justice.
The figures, computed by the Institute on Taxation and Economic Policy using the ITEP Tax Model, show that combined federal, state and local taxes on the wealthiest one percent of Americans will equal 32.8 percent of income this year. For all other income groups, combined taxes will average 29.4 percent of income.
The tax cuts enacted under President Bush have lowered the overall federal, state and local tax rate on the best-off one percent of taxpayers by 12 percent.
For the poorest 20 percent of taxpayers, the Bush tax cuts have cut overall taxes by only 3 percent.
For all other income groups, Bush’s tax cuts have reduced overall federal, state and local taxes by between 7 and 8 percent.