Fair – A Benefit for Half of America–but Mostly the Top 0.2 Percent
12/08/2010 by Jim Naureckas
CNBC‘s Erin Burnett discussing the tax deal on the Today show yesterday (12/7/10): “With capital gains and dividend taxes staying low, the half of Americans that own stocks get a benefit there as well.”
Oh, really? Here’s some figures from the Center on Budget & Policy Priorities (1/30/06):
Over half–54 percent–of all capital gains and dividend income flows to the 0.2 percent of households with annual incomes over $1 million. More than three-quarters–78 percent–of this income goes to those households with income over $200,000, which account for about 3 percent of all households.
In contrast, only 11 percent of capital gains and dividend income goes to the 86 percent of households with incomes of less than $100,000. Only 4 percent of this income flows to the 64 percent of households that have income of less than $50,000.