I don’t think most people realize just how out of balance taxes are in the United States of America. Income isn’t just slightly skewed; people that are in the top quintile have access to so much money that it actually unbalances the United States economy. It becomes even more skewed if you look at the top 3% or the top 1%.
Here is a chart from Inequality.org that shows how the pay has increased for the various income earners since 1979:
And it isn’t because people aren’t working harder. We all need to give ourselves a break. We are more productive now than we have been at any time in the past, but our income hasn’t risen with our productivity.
So where has all that money gone? Here is a graph of the income increase before taxes:
And here is a graph of the income increase after taxes:
The money is going to the very wealthiest people in the United States.
From the “issues” section on Hillary Clinton’s website, here is what Hillary Clinton proposes to do to help rectify this inequality:
Restore basic fairness to our tax code. Hillary Clinton wants to add a “fair share surcharge” and implement the “Buffett Rule”.
Close corporate and Wall Street tax loopholes and invest in America. Hillary Clinton would close corporate tax loopholes like “inversions” and add an “exit tax” so companies couldn’t move over seas to avoid taxes. She would also reward businesses that invest in good paying jobes in the United States.
Simplify and cut taxes for small businesses so they can hire and grow. Ensure that small businesses wouldn’t have to spend too much time or money to meet federal tax compliance.
Provide tax relief to working families from the rising costs they face. Provide tax breaks for excessive out of pocket medical expenses as well as caring for ill or elderly family members.
Pay for ambitious investments in a fiscally responsible way. Instead of raising taxes across the board, Hillary Clinton proposes to use the taxes from making the wealthiest pay their fair share to pay for the investment in the American future.