A new survey by the Pew Research Center has found that low-income Americans are the group most likely to say that they should be taxed more.
Low-income households feel the guilt for not paying enough taxes, a survey finds. (Photo: Tribune Online)
Results of the Survey from Pew Research Center
Out of the 5,079 respondents surveyed, 14% of those in the lowest income bracket feel that they are paying “less than their fair share,” compared to 5% and 6% of upper and middle-income Americans respectively.
Despite this, a majority of Americans support raising taxes on incomes over $400,000, with 61% of respondents saying so. A quarter of those surveyed also said that those tax rates should be increased by “a lot”, according to a report published in Business Insider.
Low-income households often feel the impact of taxes, especially as inflation continues to squeeze Americans’ budgets. The country’s tax brackets have changed to account for increased costs, such as for the tax year 2021 where a 22% tax rate applied to those making between $40,525 and $86,347, which rose to between $41,775 and $89,074 in 2022.
READ ALSO: Eligible Seniors Should Take Benefit Of Free Filing Options To File Taxes For Free This Tax Season
Almost Half of the U.S. Households are Not Paying Federal Taxes
One reason why lower-income Americans may feel that they are not paying their fair share is that many of them do not pay federal income taxes, even though state and local taxes hurt them disproportionately. According to the Tax Policy Center, 57% of U.S. households paid no federal income taxes for the 2021 tax year due to the disruptions caused by Covid-19.
President Joe Biden has proposed a tax on those making over $400,000 annually to fund Medicare for two and a half decades, highlighting the sustained popularity of “tax the rich” policies. While low-income Americans benefit from progressive federal income taxes, the survey indicates they still feel the pinch of taxes and inflation.
READ ALSO: Biden Says He’s Raising Taxes – Will You Owe The IRS More?
