MacGuffin,

I feel like I've cut open the tax tree and am counting the years.

Click to see full size. You know you want to.

It should come as no surprise that your love of infographics has spread to  me. This chart, in all its bellowing and swirling in its red, white, and blue glory, represents the tax burden by income bracket since the income tax was first levied. Red represents a harsh burden, blue a less severe one.

So in a nutshell, the chart shows that until around 1940, tax burdens were low for everyone, in historical terms. Then they rose sharply for everyone until about 1970. At that point, the rich and poor began to diverge. Those making around $10,000 to around $50,000 per year enjoyed a comparatively low-tax period in the 70s, but by the early 80s they were taxed slightly higher than the historical average. In the 2000s, their tax rate came back down a bit. By contrast, those making more than roughly $200,000 a year saw a sharp decrease in their tax burden starting in the 80s. That trend has continued to this day.

It certainly makes one wonder just where the government gets money to pay for all those wonderful toys, like your F35s you so dearly love.

All the best,

Puffin

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