To Hike or Not to Hike? 'One Percenters' Conflicted on Taxes
NEW YORK (TheStreet) -- The "one percenters" may be conflicted about impending tax hikes that Congress passed on Tuesday.
About 38% of the top 1% of income earners -- those households reporting income of $450,000 or more -- and 36% of the "core affluent" -- those earning $150,000 to $450,000 -- responded that they believed the adjusted gross income tax should be raised on those earning $500,000 or more, according to a fiscal fourth-quarter 2012 survey by Harrison Group in partnership with American Express Publishing.
This showed a more tepid response from a fiscal first-quarter 2012 survey that had previously reported support among 39% of one percenters and 38% of the core affluent. A smaller fraction of one percenters and core affluent responded that the government should not increase income tax rates on anyone, with 33% of one percenters and 21% of core affluent against all taxes.
The report comes as Congress has passed legislation to increase the top tax rate to 39.6% from 35% on individuals earning $400,000 or more and families making more than $450,000.There was less support among the two groups for tax hikes on those earning $100,000 to $250,000 (18% of one percenters and 23% of core affluent supported increases), and fewer favor for tax hikes on those earning $300,000 to just less than $450,000 (12% of one percenters and 19% of core affluent). The survey asked respondents to identify themselves either as Democrat, Republican or independent/other, and found that among one percenters, 37% identified as Republican, 29% as Democrat and 34% as independent/other. Among the core affluent, 40% identified as Republican, 29% as Democrat and 31% as independent/other. The adjusted gross income threshold for which at least half of all one percenters and core affluent supported a tax hike was $300,000 or more. The online survey had 3,524 respondents in 2012 by consumers in households with more than $100,000 of discretionary income. -- Written by Joe Deaux in New York. >Contact by Email. Follow @JoeDeaux
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV