The History of US Corporate Taxes In Four Colorful Charts
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Are American corporations overtaxed? Let’s find out! First off, here are corporate profits and tax rates since the Reagan era:
Profits have been going up, up, up. Tax rates have been going down, down, down. You can probably guess what this means for owners of capital: they’ve been doing really, really well. Indeed, net dividend payouts to shareholders are up more than 400 percent:
And American tax rates are really low compared to other countries:
Since 1980, obviously, corporations have been doing great. So has this trickled down to the common man? Let’s check out how the middle class is doing:
So there you have it. Over the past four decades, corporate profits have doubled; tax rates have been cut in half; dividend payouts have gone up 400 percent; and the household income of the middle class has…
Gone up a whopping 20 percent.
But don’t worry. This time trickle-down economics will work. Believe me.