Income to the federal government INCREASES every time taxes are cut. It’s just a FACT. But naturally, we can’t have news like THIS leak out to the peasants. Might be a wee bit upsetting as every leftist demands tax increases.
No, it's NOT a fact. There may be very good arguments for specific tax cuts just as there may be very good arguments for specific spending. But the idea that a general income tax cut will increase revenue is false and, to my knowledge, is not supported by any serious economic study. Read the analysis at http://www.econdataus.com/taxcuts.html and tell me what specific numbers or conclusions you disagree with. Alternately, provide a link to one serious economic study that purports to show that general income tax cuts increase revenues over what they would have been otherwise. Thanks.
Actually, I thought the most interesting fact in the article, and one I wasn't previously aware of, is that revenue has remained very, very close to 18% of GDP, consistently for the last fifty years!
That's despite of low tax rates, high tax rates and other variations in domestic economic policy.
IOW, the only effect of high tax rates is reducing economic growth, and the only effect of lowering taxes is increasing economic growth. The increase in government revenues from lower taxes is, apparently, entirely incidental to this sole effect. Incidental, of course, to an effect that benefits all citizens and is good in itself! This should be the primary take-home message.