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Many of the "rich people" captured in U.S. income statistics are actually small businesses. That's because 90 percent of small businesses now pay their taxes through the personal income tax system rather than America's corporate tax system.
The Tax Foundation reports that in 1980, 13 million small businesses filed through the individual income tax code. Today that number has doubled to 26 million. Because they are paying comparatively hefty sums, a majority of all individual income taxes paid this year (55 percent) will come from business owners, the Foundation estimates.
Those small ...