Income

You Won’t Believe How Many Households Paid Zero Federal Income Tax in 2021

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A new research study discovered 57% of households in the United States paid zero dollars in government income tax last year.

More than fifty percent of American families paid no income tax on their salaries to the government coffers when changed for COVID-relief checks, tax credit reports, stimulus cash, and various other privileges during the COVID-19 pandemic.

“I’m not going to raise anybody’s taxes, but I want to have the conversation,” said Florida Senator Rick Scott. “We’ve got able-bodied Americans who are living off of government programs instead of working, and that’s caused by these Democrat policies. And that doesn’t work. We got billionaires that are not paying, you know, income taxes.

Sen. Rick Scott as part of an 11-point “Rescue America” plan, said, “all Americans should pay some income tax to have skin in the game.”

“It’s real simple. We’ve got people that have voted for government programs that could go work and aren’t working. I’m not raising the tax rate. I’m not even raising their taxes. I’m saying we got to get these people to work so they’re part of the system.”

“The tax code is actually quite progressive,” said Howard Gleckman, senior fellow at the Tax Policy Center. “There may be some cases where someone with a lot of wealth has little income, or they realize gains and offset those with losses or a charitable deduction. But that’s unusual.”

MSNBC reports, that Gleckman said Scott’s claims about not supporting tax increases while wanting more Americans to pay taxes are “just silly.”

“If you have people paying no tax and you want them to pay more taxes than they’re paying now, I don’t understand what Scott is saying. The reason people don’t pay federal income tax is that they don’t make enough money,” he said.

He further explained that the expanded child tax credit was a large factor. It substantially reduced “the income tax liability of more than a hundred million households and temporarily turned many from payers of small amounts of federal income tax to non-payers,” Gleckman wrote.

The report comes as Congress considers giving Americans $100 a month to counter high gas rates. The extra stimulation deposit would be offered to all households when the price of gasoline tops $4 per gallon.

Read the full report here.

H/T Timcast

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