April 15: some call it Tax Day, some call it the real April Fool’s Day. It is also the day Lincoln passed away, the day McDonald’s first opened, and the day GE was formed. Regardless of what the significance is of it to you, April 15 is finally behind us for the year. Lets take a moment to reflect on everyone’s least favorite topic of the day: taxes!

Now that the taxes are out of my wallet and yours, and the bitterness fresh in our minds, here are some FUN facts about taxes! (if there is such a thing)

The federal income tax was put into place in 1913 with the ratification of the 16th amendment to the Constitution. Much controversy has surrounded the actual ratification of the amendment, and the context of its words:

16th Amendment: “The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.”Skeptics question the word “income”, saying it defines income from businesses or investments, not wages earned in exchange for labor.

They also argue that since it is a progressive tax (any tax in which the rate increases as the amount subject to taxation increases) the inequalities it creates could be ruled unconstitutional.

Many complain that “the rich” do not pay their fair share of taxes, and call for higher taxes on businesses and the wealthy. Barack Obama and Hillary Clinton, and a large majority of Democrats are in support of this argument. However, since the ever controversial “Bush Tax Cuts” of 2001 and 2003, a higher burden of the total tax receipts have been shifted to those in the upper income brackets due to larger tax cuts in the lower income brackets. Therefore, the upper income brackets have been carrying MORE of the burden than ever before, with those making over $100,000/yr carrying over 68% of the total tax burden.

The IRS collected $972.7 billion in income tax revenue alone in 2005 (the most recent report they have released data for). Since the income tax does not have to apportioned, there is no direct service or benefit the government can claim we receive from our tax dollars.

Individual and business taxpayers spent 6.65 billion hours complying with tax laws in 2006, the equivalent of 3.2 million employees working 40-hour weeks year-round without any vacation.

The average American works for 113 days a year (roughly through the third week in April…very coincidental your taxes are due at the SAME TIME!) to pay off their tax burden each year.

The top tax bracket in 1951-1963 was an astounding 91%. I bet the general public was not crying back then that the wealthy were not paying their share of the tax burden!

During the Great Depression, the highest tax rate was increased from 25% in 1931, to 63% in 1932, to 79% in 1936, to 88% in 1942. With the business owners and the wealthy keeping a small minority of their own money during the Depression, it is no wonder they could not invest to help the economy out of the Depression.

To reference the election candidates: Barack & Michelle Obama made $983,826 in 2006, and paid $318,664 in taxes. Hillary & Bill Clinton made a staggering $20,400,000 in 2007, and paid $5,100,000 in taxes. John McCain has yet to release his tax returns, but with a wife who is an heir to the Budweiser fortune, I’m sure he is up there with the Clinton’s.

On the bright side, now we have the next 3/4 of the year to work for OURSELVES, and 364 days to set aside certain “items” in the back of our mind until filing day comes around next year! Happy working!