Economic Growth and Tax Relief Reconciliation Act of 2001
The Economic Growth and Tax Relief Reconciliation Act of 2001 was the first of President George W. Bush's (R) radical tax cuts. Tax rates were lowered across the board, with the highest bracket being decreased 39.6 percent to 35 percent. The capital gains tax was lowered as well, from 10 percent to 8 percent. The bill also reduced the estate tax annually (while raising the amount of money that qualifies for estate tax coverage), until 2010 when it was repealed for one-year.
The law provided tax credits for education, created tax incentives for married couples and increased the Child Tax Credit from $500 to $1,000.
Cry Wolf Quotes
[This is] a fight to allow businesses, taxpayers and private industry to keep more of their money so that they can provide real stimulus and lasting growth to the economy.
[The rich are] the people who've been hit hardest by this recession and who we need to create the jobs that will get us out of it.
It's idiotic to think about increasing taxes at a time like this….this is going to result in the largest tax increase in U.S. history. And again, it's idiotic….But Democrats are poised now to cause this largest tax increase in U.S. history. It's a tax increase of $3.8 trillion over the next 10 years, and it will have an effect on every single American who pays an income tax. Small businesses especially will be hit hardest....
President Obama and Speaker Nancy Pelosi want to keep the current rates on income, capital gains and dividends in place only for those who happen to fit their description of ‘middle class.’ In this moment of economic distress, will they get their way even though a bipartisan majority of the House disagrees with them? Or will present tax rates be extended for all American taxpayers—and most importantly for small businesses and investors, the nation's job creators?
Evidence
-
Tax Cuts on the Rich Don't Spur Economic Growth
The Center for American Progress takes apart supply side myths.
