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Reply to "Federal tax question - are we just in the spot that is really painful?"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]Yes you are at the level of getting hit the hardest in taxes. It's difficult at the 300-400k level. When you are above 400k is when it starts getting better and the income exceeds the tax ratio.[/quote] It is difficult when you make $300k-$400k? :roll: [/quote] No one said "difficult." But from a tax policy perspective, people in this income range pay the highest percentage of their income. Imagine a tube balloon. You squeeze it near the end, like this: [img]http://i.imgur.com/iem7PLJ.png[/img] That part in the dog's mouth? That's this income group. The part on the left are the people with lower incomes. The part on the right are the top 1%. Actually this isn't even entirely accurate, as the part on the right should be disproportionately bigger than the part on the left. The air in the balloon represents the amount of income you keep.[/quote]
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