"Republican U.S. presidential challenger Mitt Romney's proposal to slash individual income taxes by 20 percent across-the-board would primarily boost the income of the wealthiest taxpayers, according to a nonpartisan analysis released on Wednesday."
"The report by the centrist Tax Policy Center found that Romney's tax cuts would boost after-tax income by an average of 4.1 percent for those earning more than $1 million a year, while reducing by an average of 1.2 percent the after-tax income of individuals earning less than $200,000. "
Recent polls have indicated voters prefer President Obama's tax policy of raising taxes some on the rich. Romney's plan is regressive just as Herman Cain's was. This is what needs to be properly grasped: The Republicans-including Grover Norquist-are not against raising taxes per se, just not on the rich. Their preferred tax policy is to cut taxes on the rich by raising them on everyone else.
This begun with Reagan himself with his "compromise" in 1983 with Tip O'Neil. In truth there was no compromise as the nonrich saw their Social Security contributions rise and their benefits fall.
"Because the value of the 20 percent tax cut for richer Americans would exceed the gains they get from popular tax breaks that Romney would chop, they would see the greatest income gain from Romney's possible changes, the study said."
"We add up how much people get from the tax cuts and then add up how much can be potentially be raised," from ending tax breaks, said Adam Looney, an economist and one of the study's authors.
"About two-thirds of the $1.1 trillion in revenues that the government foregoes annually because of tax breaks would have to be curbed to fund Romney's tax cut, the analysts said."
"These tax breaks include popular ones such as the mortgage interest deduction, the break for employer-provided health insurance, and credits for low- and middle-income families."
See this is what conservatives mean when they talk about "closing tax loopholes"-cutting tax credits that the middle class gains from.
"Romney's tax proposal also includes cutting some taxes on investment income and eliminating taxes on estates passed on to heirs. "
Good thinking. We know the reason business has no confidence is the inheritance tax.