Taxes too high? Actually, as a share of the nation’s economy, Uncle Sam’s take this year will be the lowest since 1950, when the Korean War was just getting underway.
And for the third straight year, American families and businesses will pay less in federal taxes than they did under former President George W. Bush, thanks to a weak economy and a growing number of tax breaks for the wealthy and poor alike.
Income-tax payments this year will be nearly 13 percent lower than they were in 2008, the last full year of the Bush presidency.
Corporate taxes will be lower by a third, according to projections by the nonpartisan Congressional Budget Office.
The poor economy is largely to blame, with corporate profits down and unemployment up. But so is a tax code that grows each year with new deductions, credits and exemptions.
In the next few years, many can expect to pay more in taxes. Some increases were enacted as part of President Barack Obama’s health care overhaul. And many states have raised taxes because — unlike the federal government — they have to balance their budgets each year. State tax receipts are projected to increase in all but seven states this year, according to the National Council of State Legislatures.
But in the third year of Obama’s presidency, federal taxes are at historic lows. In the current budget year, federal tax receipts will be equal to 14.8 percent of gross domestic product, the lowest level since Harry Truman was president.
