Bush Era Tax Cuts

1. Sofiane Hadjar Bush Era Tax Cuts

2. History of Tax Cuts • 1981- • President Ronald Reagan cut tax rates by 23% at a cost to the government of over $750 billion. • 1989- • George H.W. Bush, raised taxes contrary to his electoral race promises • 1993- • Bill Clinton took office and faced a $300 billion deficit. • Cut government spending by $247 billion and raised taxes on top earners. That move, and later tax cuts, resulted in a budget surplus in 1998. • 2000- • George Bush came into office with a $230,000,000,000 surplus. • Campaigned on getting the money back to the people

3. History of Tax Cuts • 2001-Economic Growth and Tax Relief Reconciliation Act of 2001 • Congress approved Bush’s $1.3 trillion tax cut plan • Lowered income tax 3-5% • Phased out the Estate Tax • Reduced the Marriage Penalty • Doubling the per Child Credit • Called to expire in 2010

4. Current State • Tax Cuts have been extended through 2012 • The debate at the end of 2010… • Obama-extend the tax cuts for anyone making less than $250,000 a year. • Had to settle • Class Warfare? • Rich? or Job Makers?

5. Opposing Viewpoints

6. The Laffer Curve

7. OBAMA

8. Obama/Democratic Position • Extend Tax Cuts only for people making under $250,000 a year • Lost negotiations • Extended bush tax cuts

9. Republican Party Position • Extend Bush Tax Cuts, even for the greater than $250,000 bracket • Promotes Low Taxes for All • Lower taxes=incentive to invest

10. Mitt Romney • Cut taxes 19 times as MA governor • Never opposed 2003 Bush cuts, but never supported

11. Michele Bachmann • Adopt a single-rate tax system • Repeal the Death Tax • Promoted as small-government, low-taxes Candidate

12. Rick Perry • Balance our budget without raising taxes • Promises Tax Reform, No New Stimulus Programs

13. Herman Cain • Federal government taxes too much and too often • Abolish the IRS • Implement 23% national sales tax

14. Bibliography • "Barack Obama on Tax Reform." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.ontheissues.org/2008/barack_obama_tax_reform.htm>. • "Barack Obama on the Issues." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.issues2000.org/Barack_Obama.htm>. • Gale, William G. "Five Myths about the Bush Tax Cuts." The Washington Post: National, World & D.C. Area News and Headlines - The Washington Post. Web. 14 Sept. 2011. <http://www.washingtonpost.com/wp-dyn/content/article/2010/07/30/AR2010073002671.html>. • "Herman Cain on the Issues." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.issues2000.org/Herman_Cain.htm>. • Lowrey, Annie. "Bush Tax Cuts 10th Anniversary: They've Been a Failure in Every Conceivable Way. - By Annie Lowrey." Slate Magazine. Web. 14 Sept. 2011. <http://www.slate.com/id/2296578/>. • Mencimer, Stephanie. "The Bush Tax Cuts: Ten Years Later | Mother Jones." Mother Jones | Smart, Fearless Journalism. Web. 14 Sept. 2011. <http://motherjones.com/mojo/2011/06/10th-anniversary-bush-tax-cuts>. • "Michele Bachmann on the Issues." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.issues2000.org/Michele_Bachmann.htm>. • "Mitt Romney on the Issues." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.issues2000.org/Mitt_Romney.htm>. • "Rick Perry on the Issues." OnTheIssues.org - Candidates on the Issues. Web. 14 Sept. 2011. <http://www.issues2000.org/Rick_Perry.htm>. • Sahadi, Jeanne. "FAQ on Bush Tax Cuts: What You Need to Know - Sep. 15, 2010." CNNMoney - Business, Financial and Personal Finance News. 15 Sept. 2010. Web. 15 Sept. 2011. <http://money.cnn.com/2010/09/15/news/economy/bush_tax_cuts_faqs/index.htm>.