If you've got an IRS letter on your desk right now, you have a decision to make, and the clock matters. I'm Darrin Mish. I've spent 32 years helping people with exactly this kind of situation. Here's what you should do.
Our income tax rates are meant to tax citizens according to how much they earn. That means the more you earn, the higher the rate and the more you pay. I mean, that’s only fair, right? But in reality, it is not so.
Did you know that the super rich in our country (those who earn upwards of $62 million a year in adjusted gross income) were taxed an average of 17.6%? This finding is according to Bloomberg. This means those who earn $62 million a year pay nearly the same effective tax rate as those who earn $85,000 a year in adjusted gross income. These 1,360 super rich people represent the top 0.001% of the population in terms of earnings but they contributed only a paltry 3.3% of all the taxes collected. On the other hand, those who earn $13 million a year paid a higher tax rate.
At the same time, if your income is in the top 2% of the country, your tax rate is at a five year low. So which group of earners contributed the most in income taxes? Find out where the money goes.
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