Federal tax revenues for fiscal year 2000 were $2.025 trillion, and the federal budget was around 1.8 or 1.8 trillion. That’s why we have a surplus. Of that, individual income taxes make up about 50%, corporate income taxes make up 10%, SocSecurity taxes make up 32%, and all the other taxes make up the remaining 8%.
I know a lot of you are going to say, “See! Corporations are getting away with murder! We need to raise their taxes!” Before you say that, you have to know that any tax increase imposed on corporations or businesses is just like any other expense to business – it gets passed along to the consumer in the form of a price increase. You pay, in essence, corporate taxes. Not all of them, but a vast majority of them, as this breakdown indicates.
So the government took in $2,025,000,000,000 in 2000. How much of that would the Bush tax cut give back in it’s first year? $80 billion – and the Democrats are caterwauling that we cannot afford it! Even if we went the full $80 billion, we’d still be running a surplus.