President Barack Obama’s speech to the nation Monday night was highly disturbing. Because read carefully, it reveals a president wildly divorced from the fundamental realities of the nation he is supposed to be leading. ....President Obama actually told America on national television that it is a nation “with a system in which the deck seems stacked against middle class Americans in favor of the wealthiest few......” It is incomprehensible how a man serving as president of these United States could make such a fundamentally false assertion about his own country.
As I have explain in my new book, America’s Ticking Bankruptcy Bomb, before Obama was even elected, official IRS data showed that for 2007 the top 1% of income earners paid more in federal income taxes than the bottom 95% combined. The top 1% paid 40.4% of all federal income taxes that year, almost twice their share of income. The middle fifth of income earners, the actual middle class, paid 4.7% of federal income taxes. Deck stacked against the middle class in favor of the wealthiest few?

Moreover, the bottom 40% of income earners as a group paid no federal income taxes that year. They instead received net payments from the IRS equal to 4% of total federal tax revenues. As my book explains, this was actually the result of nearly 30 years of Reaganomics. Today close to 50% of Americans pay no federal income tax.

We see the same in some states. In California, the top 1% pay 48% of all state income taxes. In New York, the top 1% pay 41% of all state income taxes. In New Jersey, until recently the top 1% paid 46% of state income taxes.