How the Tax Burden Has Changed

http://www.nytimes.com/2012/11/30/us/most-americans-face-lower-tax-burden-than-in-the-80s.html?adxnnl=1&emc=eta1&adxnnlx=1354303994-qkpQ9uKXVj2vzfYK5Otlfg

***************
"Think of the bottom line as the end, the takeaway, the desired result." (John C. Maxwell)
***************

With some of the best graphics I've seen, the Times has come up with a set of charts picturing how the our taxes have changed over the years. All of this relates to the current negotiations going on about the "fiscal cliff."

According to the charts, most Americans paid less in taxes in 2010 than people with the same inflation-adjusted incomes did in 1980, because of cuts in federal income taxes. At lower income levels, however, much of the savings was offset by increases in federal payroll taxes, state sales taxes and local property taxes. About half the households making less than $25,000 saved nothing at all.

Now that we may be reaching the end of an era of tax cuts, what's next? The "mortgage interest expense" deduction is on the table. That will alienate everybody that owns a house.

Spending by federal, state and local governments makes up a growing share of U.S. economic activity. While state and local taxes have increased, federal revenues have declined to the lowest level in decades. This results in annual deficits and increasing long term debt. And then, we wonder why we have problems.

It will be interesting to see what happens.