Scoot - What is the explanation for Total Federal Revenue not climbing at the same increasing rate (22%) that the income tax is increasing? The blue line appears to be flattening relative to the red line.
I would venture two guesses (I haven't looked at the data however): 1) although corporate profits are at astronomical levels, the growth rate of profits has slowed down, and 2) for the past year social security withholding rates have been slashed in order, supposedly, to stimulate the economy. I note that social security taxes in recent years have been almost as large as income taxes.
Income are rising?http://www.bea.gov/newsreleases/regional/spi/spi_newsrelease.htm
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