January 30, 2003 12:22 PM | Permalink |
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|Related CTJ Analyses|
|Distributional Analysis of Bush 2003 Tax Plan||1/27/03|
|Cost of Bush 2003 Tax Plan Estimated||2/3/03|
The Senate Democratic tax cut plan introduced by Minority Leader Tom Daschle (D-S.D.) offers substantially larger tax relief to most taxpayers this year than President Bush’s latest tax cut proposal, provides far more economic stimulus this year, and at the same time is far less costly over the long-term—thereby avoiding the big budget-deficit expansion that the President favors.
An analysis of the Democratic plan released by Citizens for Tax Justice finds:
- Under the Democratic plan, almost all families and individuals (94 percent) would receive tax relief. Under the President’s plan, a third of taxpayers would get absolutely nothing, and almost half would get less than $100.
- Middle-income taxpayers would get an average tax cut of $542 under the Democratic plan, compared to $289 under the President’s proposal.
- Low-income individuals and families would get an average of $266 each from the Democratic plan, compared to $6 under the President’s proposal.
The richest one percent of taxpayers would average $817 in tax breaks under the Democrats’ plan, versus $30,127 each under the Bush program.