The Republicans don’t want to raise the Bush tax cuts for the wealthy from 35% back to 39%. The difference is an increase of 4% on their taxes.
What is 4% and how much does it represent?
4% of $1.00 is $0.04.
4% of $10.00 is $0.40.
4% of $100.00 is $4.
4% of $1,000.00 is $40.
4% of $10,000.00 is $4,000.
4% of $1,000,000.00 is $40,000.
According to the CATO Institute, In 2001. President Bush came into office promising a range of income tax cuts. He succeeded in getting a 10-year $1.35 trillion tax cut plan through Congress in 2001. It was the largest tax cut since 1981.
The 2011 Poverty Guidelines for the 48 Contiguous States and theDistrict of Columbia
is $37,630 for a family of 8.
2011 HHS Poverty Guidelines
The poverty rate for a family of 8 is less than the tax increase would be for millionaires. Is that increase really going to break the millionaires and multi-millionaires? I don’t think it would send them to the poverty level. However, the number of people in the poverty level income will almost certainly rise.