To the extent that taxes are structured to disproportionately rob the successful, receipts suffer when the nation is less successful.

Or, to quote a politician or two: “A rising tide raises all boats.”

All I know is that way more than 9.2% of my income goes to the government. So any news of a decrease in the narrowly-defined Federal income tax portion (less Medicare, less Social Security) is little consolation.

Amen, brother. My checking account is still stinging from April 15th.

So: yes, by certain measures, Americans are paying less in taxes than in years past.

That’s correct. But their numbers, including the 9.2% number that was said to encompass “Federal, state and local taxes — including income, property, sales and other taxes” were not. They’ve changed the article, so it reads differently now. But it’s still wrong. And as you correctly pointed out, the reasons for the reduction in tax bills are all for really bad reasons: our economy is in trouble. To the extent that taxes are structured to disproportionately rob the successful, receipts suffer when the nation is less successful.

The BEA classifies Social Security taxes as insurance payments

There’s a phrase for a mandatory insurance scheme enforced with threat of physical violence and with no guaranteed payout: a protection racket.

The real kicker is that taxation is so rigged and gamed and loopholed that they couldn’t possibly come up with one number that stands for anything. Many people pay negative taxes. Are you going to average those in with the people who pay 60% or more of their income to the government and expect the resulting number to be in any way meaningful?

All I know is that way more than 9.2% of my income goes to the government. So any news of a decrease in the narrowly-defined Federal income tax portion (less Medicare, less Social Security) is little consolation.

Individual tax rates vary widely based on how much a taxpayer earns, where the person lives and other factors. On average, though, the tax rate paid by all Americans — rich and poor, combined — has fallen 26% since the recession began in 2007. That means a $3,400 annual tax savings for a household paying the average national rate and earning the average national household income of $102,000.

…Wha? They’re using the mean income as an example?

Every. Bleeding. Economist. that you might encounter will always use the median as it’s far more indicative of real income levels, as billionaires tend to skew the mean by a hefty margin.

To wit:

Taxes paid have fallen much faster than income in this recession. Personal income fell 2% last year. Taxes paid dropped 23%. The BEA classifies Social Security taxes as insurance payments and excludes them from the tax calculation.

So there goes that. They’re also counting the “stimulus” dollars against the average.

Additionally, with ~10% unemployment and many folks with reduced income levels, far more people fall below the “Pay No Taxes Line” and thus bring the average down.

So: yes, by certain measures, Americans are paying less in taxes than in years past. However, the reasons for it are:

a) Higher unemployment
b) Lower median income
c) Several inconvenient taxes are reassigned to a different classification to avoid the “tax” moniker
d) Lower consumer spending
e) Lower levels of overall economic activity

As I said, the article is true, but its base assumptions are non-obvious and misleading. We’re in Mark Twain “lies, damn lies and statistics” territory here.