Once again we head for the parallel universe!
The Tea Party Express Tour, starring Sarah Palin, is heading for downtown Richmond tonight. From 6:30 to 8 p.m., the “Taxed Enough Already” crowd will sling their bile at Big Government, Liberals and Big Taxes. They will flap their rattlesnake “Don’t Tread on Me” flags and call for an end to Barack Obama “socialism” and the huge taxes he is bringing.
Meanwhile, back on the home front, your faithful blogger of Gooze Views is quietly awaiting for his federal income tax return, despite the fact that 2009 was not exactly one of his greatest years, income-wise. We managed to pay our mortgages on time and balance other debt. But it was pretty bad. One wonders why, if all the hysteria is to be believed, why I wasn’t hung out to dry, tax-wise.
It turns out that a lot of Americans are wondering the same thing. According to a study by the Center on Budget and Policy Priorities, Americans have actually been paying less income tax, in fact, dramatically less.
The average federal income tax rate for a median-income family of four (which pretty much defines us) reached its peak of about 12 percent during the worst stagflation years in the late 1970s. It dropped under the Reagan Revolution to about 8.5 percent before plateauing at that level as Reagan’s Big Government spending, mostly for defense, finally caught up with the taxpayers. Then, under Democrat Bill Clinton, it really tumbled to about 5.5 percent. George W. Bush say an uptick before his tax cuts kicked in to the 4 to 5 percent level.
Tax credits of $800 for married joint filers under Obama’s American Recovery and Reinvestment Act and other cuts will make the average American family pay about 4.6 percent in 2009. That’s about the lowest rate since 1955, according to the Center.
To be sure, payroll taxes are up and it is uncertain how much taxes will spike as more deficit spending bills come due. I am sure My Dear Baconaughts will have a field day pushing this particular idea, especially the Big Bacon Himself who believes his new Boomergeddon religion.
Whatever. I can’t predict the future as well as some of you all can. But I due wonder what the Teabaggers and Sarah Palin are doing out there wailing about excessive taxes when the rates are the lowest they have been since 1955, if you believe the Center.
Are we in a parallel universe? What was that big light in the sky over Iowa and Wisconsin and the big boom anyway? Maybe aliens have something to do with it.
Peter Galuszka