Taxes: Income

Taxes: Income

The income tax has been the primary means of funding the federal government since 1913 when the 16th Amendment to the Constitution was adopted. It is a progressive tax on individual and corporate income, based on income levels.  43 states impose an income tax on individuals, while 47 states impose a tax on the income of corporations. Many municipalities and counties also levy income taxes on their residents.

Commentary

Chamber of Commerce, Wrong Again

May 19, 2011
Taxes and the wealthy

Will Higher Taxes on the Rich Kill Jobs?

December 01, 2010

Cry Wolf Quotes

These new taxes will stifle economic growth, destroy jobs, reduce revenues, and increase the deficit. Economists across the ideological spectrum are convinced that the Clinton tax increases will lead to widespread job loss.

-
Rep. Phil Crane (R-IL), Congressional Record.

[The rich are] the people who've been hit hardest by this recession and who we need to create the jobs that will get us out of it.

-
Senate Minority Leader Mitch McConnell (R-KY). Speech on the Senate floor.

[The income tax would] divide the population into two classes, the class which contributes to the support of the Government, and the class which does not contribute.

-
In 1910, the Albany Evening Journal, a partisan Republican paper.
01/01/1910 | Full Details | Law(s): Tax: Income

As a result, even though the Clinton proposal contains a very steep increase in the nation's tax burden, the actual amount of money the government collects may fall if enough workers lose their jobs and the taxable incomes of individuals and businesses decline.

-
The Heritage Foundation.

Evidence

Backgrounders & Briefs

Taxes Not Seen as Making the Rich Flee New York

Almost everyone agrees that raising taxes on the rich does not induce mass upper-class migration. 

Resources

The Center on Budget and Policy Priorities (CBPP) is a think tank focused on tax and fiscal policy. They provide in-depth analysis of state issues.

Citizens for Tax Justice is an organization that represents low and middle income citizens in the tax debates on Capitol Hill.