Patten and Company

Income Taxes Illustrated

Today, the individual income tax is the single most important source of federal revenue, but it wasn’t always that way. In 1936, excise taxes, such as tobacco and alcohol taxes, brought in more than any other revenue source. Then, in 1943, the corporate income tax briefly became the most important source of federal revenue.

But since the end of World War II, the story of American tax policy has been the rising importance of taxes on individual income. Today, 47 percent of all federal revenue comes from the individual income tax, while payroll taxes account for another 33 percent…Continue Reading Income Taxes Illustrated

Other Posts

EIC: New Law Makes Major Changes

The earned income credit (EIC) has been around for years. But it’s never been worth as much as it will be for 2021 under the new American Rescue Plan Act (ARPA). Some favorable changes are only for the 2021 tax year, while others are permanent.

Read More »

For the 99.5% act

On March 25th, Senator Bernie Sanders introduced the “For the 99.5% Act,” a proposal that could significantly reduce currently available gift and estate tax exemptions. If passed, the act could impact families not previously subject to gift and estate taxes.

Read More »

Let's Connect

Request a Consultation.