The middle class has not received much benefit from the 2003 reduction of the top U.S. tax rate for capital gains and corporate stock dividends. Instead, according to a report by Citizens for Tax Justice, the advantage has gone overwhelmingly to the wealthiest Americans. In Ohio, the top 1 percent of taxpayers making an average of $955,400 a year will gain $14,298 in 2009. Meanwhile, the bottom 60 percent of Ohio taxpayers by income will average a gain of just $20. The study also demonstrates that the cut in taxes on investment income doesn't cause federal revenue to increase, despite the myth to the contrary.

Click here to read the report

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5/13/2008