Debt and taxes. Between ongoing debate over the Affordable Care Act and the “fiscal cliff,” these two issues are already playing a prominent role in the presidential campaign.
In pushing to extend the Bush-era tax cuts only for those households making less than $250,000 a year and raise taxes on the wealthiest households, President Obama has been calling on Millionaires to “pay their fair share.”
But across all wealth levels, the prevailing sentiment is that there is no justification for any tax increases at this time, according to a new survey conducted by Millionaire Corner. Thirty-eight percent hold this view, which is felt even more strongly in households with a net worth of less than $100,000 (43.5 percent).
Nearly one-third (31 percent) they would be more accepting of a tax increase if it would offset the federal deficit. Millionaire households were the most likely (38 percent) to share this sentiment. It has been estimated that President Obama’s proposal that millionaires pay at least 30 percent in taxes it would reduce the deficit by $30 billion.
A near-similar percentage of investors overall would feel a tax increase is acceptable if the government made a corresponding spending cut, while 28 percent would be more accepting of a tax increase if it would prevent cuts to social service spending.
Twenty-seven percent would want to see any tax increases used to bolster education programs. Not surprisingly, this is especially a priority in households with a net worth of less than $100,000, of whom 30.5 percent shared this view. A recent Georgetown University Center on Education and the Workforce study found a direct correlation between higher education and earning potential. “Access to college is what distinguishes the middle class from low-income Americans,” Center director Anthony Carnevale told Reuters.”People with at least some college education stay in the middle class or move up…The salary premium for college grads continues to rise while the number of jobs for those with just a high school diploma is shrinking fast.
Using tax increases to prevent cuts to military spending is less of a priority. Only 11 percent expressed this sentiment
In an earlier first quarter wealth level study, more than three quarters of Millionaire households said they are concerned about the national debt. Sixty percent said they are worried about tax increases.
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.