America purports to have a progressive income tax system, but in reality, there are so many workarounds to the taxing structure so utilized, as well as there being so many excellent tax attorneys, in addition to all those effective and highly compensated lobbyists, that the wealthiest of Americans, be they individuals or corporations, never come close to paying their appropriate amount of taxation, of which, the vast majority of these superrich people and mega-corporations could easily pay what they really should pay, as their needed contribution to a fair share, so of.
For instance, as reported by propublica.org, historian W. Elliot Brownlee, estimates that in 1918, the top 1% highest income earning Americans, were responsible for 80% of the income taxes so collected by that Federal government. Yet, we read at taxfoundation.org, that in 2019, or one hundred years later, that the top 1% were responsible for the payment of just 38.8% of the Federal income tax so collected. This represents the type of regression in which the superrich have somehow been able to successfully place onto the backs of those that have far less income and wealth than they have, to thus take up the slack and to thereby essentially pay the income taxes for these superrich entities, instead. In other words, the Federal income tax, is clearly no longer a tax that collects mainly from the top 1%, but rather it reaches all the way down into the pockets of those that are of the middle class, as well. Additionally, in 1918, though there were corporations, the profits and wealth of that corporate power was considerably less than it so represents today, and of which, the top 1% of the wealthiest corporations in America, presently, do not ever come close to contributing their fair share in the payment of those income taxes, but rather are extremely adept at paying far less than what they should pay, while also having the audacity to “game” the system so much, that for some of these notable corporations, despite profits in the multi-millions upon millions, pay not a dime in Federal income taxes, whatsoever.
What those that are superrich, be they individuals or corporations, know for a certainty, is that the more convoluted, complex, and subject to interpretation that a given tax code is, the more that this is to the advantage to that corporation or superrich individual. Additionally, they know that the less power that the Internal Revenue Service has, and the more overworked that they are, along with often being not well compensated, the better the situation will so be for those that are superrich and well placed.
If this government, truly wants to receive more revenue in income taxes from mega-corporations and superrich citizens, then it needs to not only drastically simplify the tax code, but it also must make it a point and principle, that those with the greatest degree of wealth, income, and assets, actually thereupon pay their appropriate share of that wealth in taxes; for after all, this is the nation which provided them with the foundation for that wealth to be accumulated in the first place. The bottom line is that those that can easily afford to pay more in taxes, need to do so, rather than to burden those that are just getting by, instead.