A group of US billionaires is calling for a wealth tax

Balderdash. The only evidence you've presented is from an unabashed advocacy site. The rest of your claims are completely unsupported opinion. Since you've failed to address any of what I've actually stated, my position stands. Just saying "medicare" isn't an argument for anything. Pointing out that medicare's alleged costs are skewed by cost shifting is a valid and cogent argument that you've failed to address

 

Thank you for establishing that I was 100% right about your FAILURE to provide any substantiation for your bogus allegations.

 

In your dreams. Maybe we can have a further conversation when you learn that claiming victory without actually addressing the issue isn't a functional strategy.

 

Then give it to them - good and hard.

 

Still NOTHING to support your BOGUS allegations!

 

They're so eager to have more of their money given to government.

 

So, you have nothing? Just as I thought.

 

You are still working under misconceptions. Mind you I am not arguing over how much income tax the "wealthy" should pay. And I use quotes because there is no one solid definition on what "wealthy" is. I am only addressing the errors you are laboring under.

Welfare is money given to a person, from a government source, that hasn't earned it. That says nothing on whether they deserve it, only that they haven't earned it. Whenever you tax income, you tax money earned. And, again to clarify, that is not earned in the sense of deserve.

When you make a tax cut, deserved or not, it is more of the person's money remaining with them. When you provide welfare, deserved or not, the government is providing money outside of that earned.

You are trying to apply emotional arguments to the mechanics of money transfer, and in turn improperly using terms and concepts.

 

Ironic PROJECTION duly noted for the record.

 

In which case explain why Social Security income is taxable.

 

Yet none have. Those calling for a wealth tax have their money stashed safely overseas.

 

SSI is an abused and ill applied program, with it's funds now used for purposes not originally. That said, SS is withdrawn from your check before tax is calculated. It's money that isn't taxed. In theory, and I stress that word, the money is held earning interest, and then taxed when received, at the lower rate that most retirees should have. It's still earned income, just delayed in being taxed. It's the same principle that retirement accounts work on.

And like exceptions such as the Roth IRA, SSI has an exception in it's Disability aspect. I don't agree with Disability being funded through SS, and yes that should be counted as welfare and monies not earned. But overall, the principles hold true. Lowering the tax rate is not welfare, and results in the individual keeping more of their own money.

 

Maybe they are just eager that a bit of justice be done by way of the tax code? Maybe they have conscience, and know the difference between right and wrong?

 

Nope!

Your "untaxed" earnings are NOT returned to you by SS because there is no cap on your SS payouts as would be the case if it was only your earnings plus interest. Instead you pay into SS as a percentage of your earnings that are used to pay out directly to other beneficiaries. When your turn comes a formula is used based upon your earnings and actuarial expectation of your years that you will collect from SS. If you die sooner there is no lump sum return of your earnings and if you pass your anticipated end point your SS checks will continue even though they now EXCEED whatever you might have contributed.

However NONE of the above answers the specific question that was addressed to you.

SS income is taxable even though it is NOT "earnings" but rather welfare benefits.