For Immediate Release
May 11, 2006
Setting the Record Straight: President Bush's Tax Relief Benefits All Taxpayers
In Focus: Tax Relief
In Focus: Economy
Setting the Record Straight
Washington Post Editorial Headline: "The Formula Hasn't Changed: A Windfall For The Rich, And A Hole In The Federal Budget." "Budgetary dishonesty, distributional unfairness, fiscal irresponsibility - by now the words are so familiar, it can be hard to appreciate how damaging this fiscal course will be. ... This Congress and administration are putting the nation deeper and deeper in debt to benefit a sliver of the population that doesn't need the help." (Editorial, "Tax Cuts, Again; The Formula Hasn't Changed: A Windfall For The Rich, And A Hole In The Federal Budget," The Washington Post, 5/11/06)
But According To A News Headline In The Same Day's Washington Post: "Voting On Party Lines, Lawmakers Extend Benefits To Middle Class." (Jonathan Weisman, "House Passes $70 Billion Tax Package; Voting On Party Lines, Lawmakers Extend Benefits To Middle Class," The Washington Post, 5/11/06)
The Alternative Minimum Tax (AMT) Patch Contained In The Tax Relief Package Benefits Millions Of Taxpayers
The Temporary Patch Contained In The Tax Relief Package Enables About 18.2 Million Taxpayers To Avoid Facing Higher Taxes. In 2005, about 4 million taxpayers were affected by the AMT. Without extending the AMT relief through the temporary patch in the tax relief package, this number would rise to 22.2 million taxpayers in 2006.
Extending The President's Capital Gains And Dividend Tax Relief Will Continue To Encourage Investment, Employment, And Wage Growth
Investment Tax Relief Benefits 57 Million American Families Who Directly Or Indirectly Own Stocks.
Dividend Tax Relief Benefits More Than 35 Million Americans, Including Many Seniors, Who Rely On Dividend Income.
The President's Tax Relief Is Fueling America's Economic Growth
More Than 5.2 Million Jobs Have Been Created Since August 2003, And 138,000 Jobs Were Created In April. The unemployment rate is 4.7 percent.
GDP Grew At A Strong 4.8 Percent Annual Rate In The First Quarter. This follows our economic growth of 3.5 percent in 2005 - the fastest rate of any major industrialized nation.
Average Hourly Earnings Have Risen 3.8 Percent Over The Past 12 Months, Their Largest Increase In Nearly Five Years. Hourly compensation rose at a 5.7 percent rate in the first quarter. Personal income rose 0.5 percent in March.
America's Strong And Growing Economy Is Increasing Government Revenue
For This Fiscal Year, The Treasury Department Is Reporting The Highest Annual Tax Receipts In History. To date, tax revenues have increased by 11 percent for FY 2006. Total tax receipts in April 2006 were the second highest in history for a one month period.
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