<p>Bay - No, taxes can be on optional things. For example, we pay taxes on real estate and on owning a car. So there can be taxes on things that are not an entitlement.</p>
<p>Bluebayou - You are saying the marginal rate is 50% plus 46% on the remaining 50%, or a total of 50+23= 73%. This is not SO different from 80%, and keep in mind different schools seem to calculate things slightly differently.</p>