The President’s budget estimates that extending the 2001 and 2003 tax cuts would cost $1.7 trillion over the next decade (2008-2017). (A figure of $1.6 ... Read more
The Alternative Minimum Tax was created in 1969 to ensure that the highest-income households could not exploit loopholes, exclusions, and deductions to avoid paying any ... Read more
As is increasingly well known, a growing number of taxpayers will become subject to the Alternative Minimum Tax over the next ten years if relief ... Read more
Key Findings Two provisions of the 2001 tax cut are only partially in effect today and will phase in gradually over the next three years. These two tax provisions exclusively benefit high-income households. Almost two thirds of the benefits of these tax cuts will go to households with incomes over $1 million when the tax cuts are fully in effect. 98 percent of the benefits will go to households with incomes over $200,000. Simply freezing these two tax cuts at their 2007 levels, instead of allowing them to scale up in future years, would save about $13 billion — without taking away any tax cuts that households are already receiving and without having any effect on middle-class households. Freezing these two tax cuts at their current levels would primarily affect people with incomes over $1 million, who would still receive tax cuts averaging $140,000 in 2010 due to other provisions of the 2001 and 2003 tax cuts. Read more
Summary In 2006, the federal government ran a deficit of $248 billion, or about 2 percent of the economy. Deficits are projected to average about ... Read more
As is well known, the United States will face grave budget challenges in coming decades. In a new set of federal budget projections through 2050, ... Read more
House leaders are following a legislative strategy that involves marrying an increase in the minimum wage to a sharp reduction in the estate tax. This ... Read more
The conference agreement on pension legislation would make permanent provisions enacted in the 2001 tax-cut law to expand tax-preferred retirement and education savings accounts. The ... Read more
