The poor, middle class, and the wealthy all view themselves differently when it comes to paying federal income taxes. People are broken up into various brackets which make them pay a certain percentage of money based on how much income they make. After spending time with people on each side of the spectrum one can see how people of all social classes feel in regards to taxes. Some poor believe they are getting the butt of the stick from the rich who are greedy, meanwhile some of the rich believe that the poor and middle class don’t deserve the money that they worked for. Some of the middle class feel as if they are getting screwed by the two other sides. In reality, there are faults on all three sides. income taxes is where things become very tricky. Should we tax everyone equally? Or should we tax the rich more and the middle class and/or the poor less? Or should we make everyone pay the same amount of money? The best solution for handling the taxing debacle would be to decrease the federal income tax for all americans and increasing taxing in areas besides personal income thus making the public more amiable.

In his 2011 State of the State speech, Pennsylvania Governor Tom Corbett said “Tax increases choke growth. Every credible study on the subject has taught us this: the states that have grown the fastest, attracted the most jobs, have stayed out of the way. If you tax less, people will see the point in earning more. If you regulate more sensibly, businesses will be able to maneuver in the turns of tight economies.” Federal income tax takes away a higher portion of a person's money the higher their income bracket is. The higher the income the greater the percentage of money is taken away from your overall job based revenue. When average person gets their paycheck what they don’t know is that taxes have already docked a percentage of the paycheck leaving them behind with a missing fraction of what could have been their entire paycheck. When people are getting paid more they are happier because they can spend more money and in turn this would increase productivity overall which is what the line “If you tax less, people will see the point in earning more,” alludes to. The phrase “regulate more sensibly” is a means of saying we should regulate our taxing form to appease the people making them happier and more productive which is much more sensible they just raising taxes putting more stress on Americans.

David Plouffe was Barrack Obama’s campaign manager in 2008 and during a 2011 fox news interview about the deficit reduction plan he said “Now, the president would like to do tax reform, which would obviously lower rates for most people in America and make the tax code fair and get rid of loopholes and special treatment.” The current state of the taxing form turns a blind eye to other ways of gaining money besides a set career or job. These “loopholes” and “special treatments” cater towards those who make the majority of their own money in other pursuits other than their own paying job. A CNBC study has shown that a good portion of the wealthy community gets their income from investments and Business rather than compensation (their paying job). This means that according to tax papers it seems as if they are making much less money so in turn they pay less federal income tax. While they do still pay business taxes on investments and other outside pursuits these percentages are not nearly as large as those of the federal income taxes. Lowering federal income taxes for everyone would show that the government cares about all social classes, raising taxes on business investments would be reasonable in order to compensate for the lower income taxes because people are not dependent on investments to survive but it still garners a huge amount of money which could be taxed to benefit the government. For those people who oppose increased taxes on investments the major argument against them is that if they can afford to make large investments in companies why risk it when you can live comfortably at home with the larger income you now make with the decreased federal income taxes?

America has had tax issues ever since its creation. The government needs its funding but taxing the citizens based on their income is not the proper route to take. Rick Perry said in his 2011 State of the State address “We just can't forget that dollars do far more to create jobs and prosperity in the people's hands, than they can in the government's. Taking more money away from Texas families and employers is not the answer to our challenges because they've already sacrificed plenty. Balancing our budget without raising taxes will certainly set a nice example for the rest of the nation, but we have a bigger motivation. Balancing our budget without raising taxes will keep us moving forward out of these tough economic times, creating more jobs and opportunity,” The biggest problem with increasing taxes is that it lowers the general public’s morale. It becomes much harder for people to succeed with lower morale. Taking more money from families and employers would not totally balance the nation's budget as the the increase in taxes would not be large enough to make a noticeable difference. Dollars are more well used in the citizens hands rather than the government’s because they can use that money to become more successful via investments or business related pursuits and this is where we should be raising taxes because it does affect peoples income via their job which is what they use to survive. This way we would be allowing the citizens to survive better while making more money through other pursuits and giving the government more tax money.

Taxes always has been a big problem for America. Trying to please millions of people in various economic states it is hard to come up with a proper tax reform. The government stills needs its funding so finding a good correlation between peoples satisfaction and income for the government seems impossible. However we can lower the the federal income taxes and increase the business taxes to balance the scale out. The best solution for handling the taxing debacle would be to decrease the federal income tax for all americans but increase taxing in other areas as allow the people who generate surplus revenue to pay their fair share.

http://www.northjersey.com/news/90591504_This_millionaire_welcomes_higher_taxes.html
http://www.forbes.com/sites/beltway/2013/09/12/most-americans-do-indeed-pay-federal-taxes-including-the-poor/