Clueless Quote of the Day (Bachmann on Taxes)
“For my tax plan, I take a page out of one of my great economists that I admire, Ronald Reagan. And under my tax plan I want to adopt the Reagan tax plan. It brought the economic miracle of the 1980s. Why not go with what works? I want to reinstitute the Reagan tax model from the 1980s.”—Michelle Bachmann.
I guess we shouldn’t mention that the top marginal rate during most of the Reagan era was 50%, huh?
More details from PolitiFact:
In 1981, Reagan’s first year, the top tax rate was 70 percent, hitting individuals earning $108,300 and couples earning $215,400. The top rate dropped immediately to 50 percent in 1982 and stayed there through 1986. In 1987, the top rate fell again to 38.5 percent, and in 1988, it fell to 28 percent, kicking in at $17,850 for married individuals and $29,750 for married couples. (The 1988 incomes would be equivalent to $33,229 and $55,382 today.)
At the moment the top marginal rate is 35%, but you have to make over $379,150 to hit that bracket.
BTW, to get to the 28% bracket at the moment you have to be a single person making between $83,600-$174,400 or $139,350-$212,3000 if married and filing jointly (brackets here). So while in the very last year of the Reagan administration the top bracket was lower, it kicked in at a much lower income level.