A Taxonomy of Tax Rates

A TAXONOMY OF TAX RATES….Jim Henley asks about rates of taxation. Here’s my quick and not-very-well-thought-out guesstimate:

  • Above 40%: Unwise.

  • Above 50%: Counterproductive.

  • Above 60%: Unjust.

Note that I’m talking about actual maximum tax burdens on high earners here, not theoretical rates and not marginal rates. I doubt there are many millionaires in the entire country who pay an actual tax rate very much higher than 30%.

Discuss.

Support Nonprofit Journalism

If you enjoyed this article, consider making a donation to help us produce more like it. The Washington Monthly was founded in 1969 to tell the stories of how government really works—and how to make it work better. Fifty years later, the need for incisive analysis and new, progressive policy ideas is clearer than ever. As a nonprofit, we rely on support from readers like you.

Yes, I’ll make a donation