Consider this: In 1940, corporations and individuals roughly split the federal income tax bill equally. As of last year, corporations were paying just 13.7 percent of the federal tax bill, while individuals were paying 86.3 percent, or almost $800 billion. And according to the Congressional Budget Office, corporate income taxes in 2002 contributed to less than one-tenth of overall federal budget revenues (down from 15 percent in the 1970s and 25 percent in the 1960s). Corporate tax revenues also now represent only 1.5 percent of GDP, down from 4.1 percent in 1965. Such a decline in corporate tax revenue means individual taxpayers are paying more and getting less.
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