Is Obama unreasonable taxing the wealthiest? Look at tax rate data from 1920 and you decide

Much has been said about the tax rate and proposed taxing of the wealthy by the Obama Administration. Republicans believe the answer is always to lower taxes and that they are paying too much. I find it useful to look at the actual data so here is a Table by year and the highest tax rate for the top earners.

1920 73% 1921 73% 1922 58% 1923 43% 1924 46% 1925 25% 1926 25% 1927 25% 1928 25% 1929 24%
1930 25% 1931 25% 1932 63% 1933 63% 1934 63% 1935 63% 1936 79% 1937 79% 1938 79% 1939 79%
1940 81% 1941 81% 1942 88% 1943 88% 1944 94% 1945 94% 1946 86% 1947 86% 1948 82% 1949 82%
1950 84% 1951 91% 1952 92% 1953 92% 1954 91% 1955 91% 1956 91% 1957 91% 1958 91% 1959 91%
1960 91% 1961 91% 1962 91% 1963 91% 1964 77% 1965 70% 1966 70% 1967 70% 1968 75% 1969 77%
1970 72% 1971 70% 1972 70% 1973 70% 1974 70% 1975 70% 1976 70% 1977 70% 1978 70% 1979 70%
1980 70% 1981 69% 1982 50% 1983 50% 1984 50% 1985 50% 1986 50% 1987 39% 1988 28% 1989 28%
1990 28% 1991 31% 1992 31% 1993 40% 1994 40% 1995 40% 1996 40% 1997 40% 1998 40% 1999 40%
2000 40% 2001 39% 2002 39% 2003 35% 2004 35% 2005 35% 2006 35% 2007 35% 2008 35%

The data below looks at who was President during the year and the highest tax rate at the beginning of their Administration and what it was at the end of their Administration.

• Herbert Hoover 1929-1933 (Year of Stock market crash and Great Depression) Republican, 24%-63%
• Franklin Roosevelt 1933-1945 Democrat 63%-94%
• Harry Truman 1945-1953 Democrat 94%-92%
• President Eisenhower 1953 to 1961 Republican 92%-91%
• John Kennedy 1961-1963 Democrat 91%-91%
• Lyndon Johnson 1963-1969 Democrat 91%-77%
• Richard Nixon 1969-1974 Republican 77%-70%
• Gerald Ford 1974-1977 Republican 70%-70%
• Jimmy Carter 1977-1981 Democrat 70%-69%
• Ronald Reagan 1981-1989 Republican 69%-28%
• George H. Bush 1989-1993 (Gulf War 1) Republican 28%-40%
• Bill Clinton 1993-2001 Democrat 40%-39%
• George W. Bush 2001-2009 (9/11 then attack on Afghanistan & Iraq invasion) Republican 39%-35%
• Barack Obama 2009- Democrat

So as we listen to the screams and hysteria of Republicans complaining President Obama is asking the highest earners to pay more taxes as they did during Reagan's term, the Republicans are worrying the tax rate for them will go from 35% to 69%. But if you look back during the years of the 1929 stock market crash and Great Depression it went from 29% to 63% as it was necessary to pay for FDR's New Deal and the World War ll. You can see from the National Debt Graph above that it started moving under Reagan and then took off again under Bush. Click on the Graph to enlarge it. I don't know about you but the mid 40's to the 60's were good years for me and my family. Many could support a family with only 1 family member working. Now it takes 2 and many still can't make it.

So when the Republicans complain about their taxes, point them here to the data and tell them their game is over. President Obama is trying to restore the Middle Class to America and jobs and that is what made America strong. It wasn't from the tax cuts on the wealthiest among us. When the Middle Class rises all other boats do too. Oh, and one last point, you have heard of Ponzi schemes referenced recently in the Madoff scandal. Well Charles Ponzi, was arrested for using this scheme back in 1910. He was an Italian immigrant who was notorious for using other people's money. By the way the tax rate back then was only 7%. So you see no matter how much money these guys make through legal or other means they always want more. Greed has been in the air a very long time. That is why government regulation is so important.