45% of Americans pay no federal income tax

by Catey Hill | MarketWatch  |  published on April 18, 2016

Many Americans don’t have to worry about giving Uncle Sam part of their hard-earned cash for their income taxes this year.

An estimated 45.3% of American households — roughly 77.5 million — will pay no federal individual income tax, according to data for the 2015 tax year from the Tax Policy Center, a nonpartisan Washington-based research group. (Note that this does not necessarily mean they won’t owe their states income tax.)

Roughly half pay no federal income tax because they have no taxable income, and the other roughly half get enough tax breaks to erase their tax liability, explains Roberton Williams, a senior fellow at the Tax Policy Center.

Despite the fact that rich people paying little in the way of income taxes makes plenty of headlines, this is the exception to the rule: The top 1% of taxpayers pay a higher effective income-tax rate than any other group (around 23%, according to a report released by the Tax Policy Center in 2014) — nearly seven times higher than those in the bottom 50%.

On average, those in the bottom 40% of the income spectrum end up getting money from the government. Meanwhile, the richest 20% of Americans, by far, pay the most in income taxes, forking over nearly 87% of all the income tax collected by Uncle Sam.

  • Patrick Driscoll

    Obuma gets the dumbest people and then buys their votes. I can guarantee there will be no rocket scientists coming across the Southern border, None with the Syrian migration and the colleges. The college kids too afraid to go out in the dark.
    The thought for most corrupted is to keep the good people poor and the bad people wealthy.
    This guy in the WH is butt stupid. talk is cheap and IT does nothing it says it will. Watch what does and not what he says!
    Can’t we get this guy to a firing squad asap. IMPEACH….. JAIL…. PUNISH

  • Mack Vallian

    For 2014 I paid no federal income taxes. For 2015:$66

    • jemb

      Did you have a job?

      • Pat Enery

        Having a job does not mean having to pay income tax. One of the reasons that there is an underground economy is because of the illegal income tax. There was no income tax here for 137 years & the country became the greatest nation in history because of that. Perhaps you should look into William Benson & his site. TheLawThatNeverWas.com. There is a reason he was gagged by the court. Add to that the legal counterfitting of our currency by the Federal Reserve & you have a recipe for disaster. Why do you think they’re moving to eliminate cash? The shysters don’t like to get jewed themselves. Their system is coming to an end. You can thank Ron Paul for revealing their scheme.

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