2007-05-30 12:24:09 · 3 answers · asked by Mikey A 2 in Business & Finance ➔ Taxes ➔ United Kingdom
Yes, we are lucky to make well over six figures and yet our effective federal Income tax rate is just over 10%. Thanks to 401k, child care credit, mortgage interest deduction, etc. Yet we also pay taxes to the state at an effective rate over 5%, city of 3.5%, RE tax equal to 3%, license plate tax, phone tax, natural gas tax, gasoline tax, alchol tax, electric public utilities commission tax, sales tax, occupancy tax, transfer taxes. These end up totaling nearly 40% of our income. Now that is scary.
2007-05-30 14:06:12 · answer #1 · answered by toledogolf 4 · 0⤊ 0⤋
That calculation is where the much-publicized "tax freedom day" comes from.
2007-05-30 19:51:08 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
Yes.
2007-05-30 19:39:51 · answer #3 · answered by tankboy444 3 · 0⤊ 0⤋