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How Marginal Tax Rates Affect Effective Rates


January 30, 2019

How Marginal Tax Rates Affect Effective Rates

Perhaps it’s old news by now, but Alexandria Ocasio-Cortez (“AOC”) recently proposed a top marginal tax of 70% on people who earn more than $10 million. Instead of arguing the merits (or lack thereof) of this proposed tax, people instead seem to be arguing exactly what a marginal tax rate is.