Yes, the largest problem with the graphs is that so much work is being done by the phrase "taxable income". Imagine Joe Example makes $500,000 per year, and fa

Yes, the largest problem with the graphs is that so much work is being done by the phrase "taxable income". Imagine Joe Example makes $500,000 per year, and faces an average tax rate of 80%, but through various quirks of the tax code he can deduct $400,000. He pays $20,000 in taxes on his $100,000 in "taxable income". Next year a tax reform bill is passed; his tax rate drops to 40%, but deductions are completely removed. He now pays $200,000 in taxes. In other words, his tax rate halves, but the tax he pays increases by 1000%. Deductions matter! The headline rate is, frankly, one of the less important variables in how a tax system works. (A smaller problem with these graphs is that it only shows income tax. That's only one of many taxes, and for the rich and poor, it's often not the most important one. Payroll, capital gains, and dividends matter too! As do sales taxes, property taxes, and even corporate taxes...)