Jeff Bezos wants the bottom half of earners to pay zero income tax-he says nurses making just $75K should save $12K a year | Fortune

A proposal would eliminate federal income taxes for the bottom half of U.S. income earners. The argument is that working people already face significant financial pressure while contributing a relatively small share of total tax revenue. A healthcare worker example is used to question why a nurse earning about $75,000 in Queens would pay more than $1,000 per month in taxes. The claim is that such payments are unreasonable and should be replaced with an apology rather than additional demands. The U.S. tax system is described as progressive, with higher earners paying a larger share of federal income taxes. Data cited indicates the bottom half pays a small fraction of federal income taxes, and refundable credits can reduce effective federal income tax burdens for many lower-income households.

"“The bottom half of income earners in this country pay only 3% of the taxes,” Bezos said. “I think it should be zero.”"

"“Why is a nurse in Queens who makes $75,000 a year paying more than $1,000 a month in taxes?” Bezos questioned. “To me, it's kind of absurd that we're doing this. We shouldn't be asking this nurse in Queens to send money to Washington,” Bezos added. “They should be sending her an apology. It really makes no sense.”"

"While Bezos did not elaborate on his exact calculations, workers in the U.S. are generally required to pay federal income, Social Security, Medicare-and in most states, state income-taxes. Combined together, it can stretch into the thousands of dollars."

"In 2023, the bottom half of taxpayers (those making roughly under $54,000) accounted for roughly 12% of total adjusted gross income-but they paid just 3% of all federal income taxes, according to IRS data analyzed by the Tax Foundation. The average household in that group paid about $913 in federal income tax. However, when refundable tax credits are factored in, the bottom 40% of taxpayers already pay effectively no federal income tax on average."

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