Pretty sure GP is talking about net income.
The federal income tax rates for lower income brackets reach 0%. State, sales, payroll, and other taxes aren’t going to come anywhere near 50%.
The real, net, median income in the United States is significantly higher than what the OP quoted.
> That would require greater than 50% taxation, which isn’t realistic at all in the United States.
My point is that higher than 50% total taxation on a large single-year income (considering local and corporate taxes) is entirely possible in the United States, though it may be less in some states than other. I’m not saying that the estimate is correct as the Tarn Brothers don’t live in California. But if they took the income to a corporation, paid corporate income tax, and then took the whole income or a large part of it as dividends in a high tax state, then >50% is quite possible. On a pass-through entity, close to 50% is the standard and unavoidable in high tax states.