09-13-2008, 02:32 PM
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Ah My Balls
Industry Role:
Join Date: Feb 2007
Location: Under the gold leaf ICQ 388-454-421
Posts: 14,311
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Quote:
Originally Posted by NickPapageorgio
Same scenario as before, but I'm using the REAL numbers instead of just example numbers.
If Johnny Q. Taxpayer has a minimum wage job when it goes up to $7.25 an hour he will gross $290 per week if he works 40 hours per week.
After the government has taken his federal ( http://www.irs.gov/formspubs/article...164272,00.html Single, Schedule X, row 2) out, which is ROUGHLY around 15%, he brings home, on average $246.50 per week. We're not counting state taxes etc, just the federal income tax. Now, he goes to the store and buys his $100 worth of groceries @ 9% sales tax ($109) and is left with $137.50 for the week.
Now...
Using your 23% sales tax, if he brings home his entire paycheck ($290) and goes to the store and buys his $100 worth of groceries taxed at 23% ($123) he is left with $167 for the week.
That's using YOUR numbers friend.
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Jonny Q making that little pays no income tax. They get MORE BACK than they paid in. 
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