As a share of the nation’s economy, Uncle Sam’s tax take this year will be the lowest since 1950. In the current budget year, federal tax receipts will equal 14.8% of the gross domestic product, lowest level since Harry Truman was president.
For the third straight year … reports the Associated Press … American families and businesses will pay less in federal taxes than they did under President George W. Bush, thanks to a weak economy and a growing number of tax breaks for the wealthy and the poor. Income tax payments this year will be 13% lower than in 2008. The nonpartisan Congressional Budget Office reports corporate taxes will be lower by a third.
Meanwhile, many states have raised taxes because they have to balance their budgets. State tax receipts are projected to increase in all but seven states this year, according to the National Council of State Legislatures.
So the federal tax “take” is down … but many states are seeing higher taxes.
Our thought for today is from Benjamin Franklin:
“But in this world nothing can be said to be certain, except death and taxes.”