Just take everything over $75,000

Thanks to Peter Leavitt for alerting us to this really scary statistic from Mark Steyn:

Noting the president’s assurance that the 250-grand-and-under crowd won’t pay “a single dime” more in taxes, the Wall Street Journal calculated that if you took every single dime — that’s 100 per cent — of the over-250K crowd, it barely begins to pay for this program, even before half of them flee the the country. The $4 trillion Congress is planning on spending next year (2010) could just about be covered if you took every single dime of the taxable income of every American earning over $75,000.

Here is the Wall Street Journal sourceThe 2% Solution (February 27, 2009):

Roughly 3.8 million filers had adjusted gross incomes above $200,000 in 2006. (That’s about 7% of all returns; the data aren’t broken down at the $250,000 point.) These people paid about $522 billion in income taxes, or roughly 62% of all federal individual income receipts. The richest 1% — about 1.65 million filers making above $388,806 — paid some $408 billion, or 39.9% of all income tax revenues, while earning about 22% of all reported U.S. income. . . .

But let’s not stop at a 42% top rate; as a thought experiment, let’s go all the way. A tax policy that confiscated 100% of the taxable income of everyone in America earning over $500,000 in 2006 would only have given Congress an extra $1.3 trillion in revenue. That’s less than half the 2006 federal budget of $2.7 trillion and looks tiny compared to the more than $4 trillion Congress will spend in fiscal 2010. Even taking every taxable “dime” of everyone earning more than $75,000 in 2006 would have barely yielded enough to cover that $4 trillion.