Capital gains tax receipts from the Office of Tax Analysis, U.S. Treasury. Adjusted for inflation by the deflator used in the source cited in the previous note. In 1985-86, six years after lowering the rates, the top 1 percent of taxpayers paid 12 percent of total revenues. Revenues in Hong Kong quadrupled between 1983 and 1992, in U.S. dollars. The zero-sum notion that more savings and investment means less consumption is false.
Savings provide the means by which real output and incomes increase.
And rising incomes, in turn, permit more saving. SOI Bulletin , Winter 1994-95, Table 8, p. 211. Using the new chain-weighted GDP measure. Economic Indicators , November 1995, p.3. A territory-based tax system will provide larger revenues to capital importers than a residence based system.