The stimulus was the biggest middle-class tax cut in history

I was disappointed by some compromises made to pass the stimulus (the American Recovery and Reinvestment Act) in February 2009. I felt President Obama made too many concessions in the fruitless pursuit of Republican votes, and that too much of the cost went toward tax cuts that would be slower-acting and less stimulative than certain forms of government spending.

That said, the tax cuts in the stimulus will help tens of millions of American families, particularly those with working-class or middle-class incomes. Citizens for Tax Justice has calculated that "the major tax cuts enacted in the 2009 economic stimulus bill actually reduced federal income taxes for tax year 2009 for 98 percent of all working families and individuals." In terms of the number of Americans who benefited, the stimulus bill was the biggest tax cut in history.

In addition, "the estimated $282 billion in tax cuts [from the stimulus] over two years is more than either of the 2001-2002 or the 2004-2005 Bush tax cuts or the Kennedy or Reagan tax cuts." George W. Bush's tax cuts were more costly to the U.S. Treasury over a 10-year period, but as Anonymous Liberal noted last year,

The Bush tax cuts were skewed dramatically toward the wealthy. In 2004, 60% of the tax cuts went to the top 20 percent of income earners with over 25% going to the top 1% of income earners. Those numbers have increased since then as the cuts to the estate tax have taken effect.

Tomorrow is the deadline for most Americans to file their tax returns, and Republicans will try to harness the tea party movement's anger at what they view as excessive taxes and spending. However, many ordinary people may be shocked to learn how large their refunds are this year. According to the White House, "the average tax refund is up nearly 10 percent this year."

Democrats should not be afraid to vigorously defend the stimulus bill during this year's Congressional campaigns. I wish the recovery act had been larger and better targeted, but the bottom line is that Republicans voted against the largest ever middle-class tax cut.

The White House website has this Recovery Act Tax Savings Tool to help people find benefits to which they are entitled. The White House press office released this fact sheet with much more detailed information on April 12. Note: if you have already filed your taxes, you can amend them after April 15 to collect on any credits from the stimulus bill that you missed.

The stimulus was the biggest middle-class tax cut in history

I was disappointed by some compromises made to pass the stimulus (the American Recovery and Reinvestment Act) in February 2009. I felt President Obama made too many concessions in the fruitless pursuit of Republican votes, and that too much of the cost went toward tax cuts that would be slower-acting and less stimulative than certain forms of government spending.

That said, the tax cuts in the stimulus will help tens of millions of American families, particularly those with working-class or middle-class incomes. Citizens for Tax Justice has calculated that "the major tax cuts enacted in the 2009 economic stimulus bill actually reduced federal income taxes for tax year 2009 for 98 percent of all working families and individuals." In terms of the number of Americans who benefited, the stimulus bill was the biggest tax cut in history.

In addition, "the estimated $282 billion in tax cuts [from the stimulus] over two years is more than either of the 2001-2002 or the 2004-2005 Bush tax cuts or the Kennedy or Reagan tax cuts." George W. Bush's tax cuts were more costly to the U.S. Treasury over a 10-year period, but as Anonymous Liberal noted last year,

The Bush tax cuts were skewed dramatically toward the wealthy. In 2004, 60% of the tax cuts went to the top 20 percent of income earners with over 25% going to the top 1% of income earners. Those numbers have increased since then as the cuts to the estate tax have taken effect.

Tomorrow is the deadline for most Americans to file their tax returns, and Republicans will try to harness the tea party movement's anger at what they view as excessive taxes and spending. However, many ordinary people may be shocked to learn how large their refunds are this year. According to the White House, "the average tax refund is up nearly 10 percent this year."

Democrats should not be afraid to vigorously defend the stimulus bill during this year's Congressional campaigns. I wish the recovery act had been larger and better targeted, but the bottom line is that Republicans voted against the largest ever middle-class tax cut.

The White House website has this Recovery Act Tax Savings Tool to help people find benefits to which they are entitled. The White House press office released this fact sheet with much more detailed information on April 12. Note: if you have already filed your taxes, you can amend them after April 15 to collect on any credits from the stimulus bill that you missed.

The stimulus was the biggest middle-class tax cut in history

I was disappointed by some compromises made to pass the stimulus (the American Recovery and Reinvestment Act) in February 2009. I felt President Obama made too many concessions in the fruitless pursuit of Republican votes, and that too much of the cost went toward tax cuts that would be slower-acting and less stimulative than certain forms of government spending.

That said, the tax cuts in the stimulus will help tens of millions of American families, particularly those with working-class or middle-class incomes. Citizens for Tax Justice has calculated that "the major tax cuts enacted in the 2009 economic stimulus bill actually reduced federal income taxes for tax year 2009 for 98 percent of all working families and individuals." In terms of the number of Americans who benefited, the stimulus bill was the biggest tax cut in history.

In addition, "the estimated $282 billion in tax cuts [from the stimulus] over two years is more than either of the 2001-2002 or the 2004-2005 Bush tax cuts or the Kennedy or Reagan tax cuts." George W. Bush's tax cuts were more costly to the U.S. Treasury over a 10-year period, but as Anonymous Liberal noted last year,

The Bush tax cuts were skewed dramatically toward the wealthy. In 2004, 60% of the tax cuts went to the top 20 percent of income earners with over 25% going to the top 1% of income earners. Those numbers have increased since then as the cuts to the estate tax have taken effect.

Tomorrow is the deadline for most Americans to file their tax returns, and Republicans will try to harness the tea party movement's anger at what they view as excessive taxes and spending. However, many ordinary people may be shocked to learn how large their refunds are this year. According to the White House, "the average tax refund is up nearly 10 percent this year."

Democrats should not be afraid to vigorously defend the stimulus bill during this year's Congressional campaigns. I wish the recovery act had been larger and better targeted, but the bottom line is that Republicans voted against the largest ever middle-class tax cut.

The White House website has this Recovery Act Tax Savings Tool to help people find benefits to which they are entitled. The White House press office released this fact sheet with much more detailed information on April 12. Note: if you have already filed your taxes, you can amend them after April 15 to collect on any credits from the stimulus bill that you missed.

Looking Ahead

One year ago our nation, and much of this world, was in a state of panic and turmoil. Companies and industries were shedding jobs faster than we could count. The stock market was tanking in front of our eyes. Waking up every morning to look at the headlines of the newspaper was a daunting task in fear of what a new day could bring to the American people. We needed a lifeline.

And so President Barack Obama signed into law the American Recovery and Reinvestment Act on February 17, 2009. Critics have been very vocal at pointing out the persistently high unemployment rate as well as flagrant examples of waste and inefficiency. At the same time, supporters have ample evidence to defend the act—a couple million jobs saved or created, a depression averted, and billions of dollars supporting and aiding colleges and universities to invest in the future of our country. Both sides have valid arguments and substantial verification. Undoubtedly, there have been great benefits from the act, but inevitably there is also vast room for improvement in the second year of the two year plan. With a year behind us, we must look ahead and focus our attention and energy in avoiding past mistakes by demanding greater transparency, and demanding higher quality outcomes. As the White House begins to craft the new jobs bill, we must make sure the bill creates good jobs—jobs that offer living wages, provide benefits, and have the potential for long-term growth and advancement.

There's more...

Race in the Age of Obama and the Economic Recovery

We as a nation are at a critical juncture—we are working to re-shape America’s role in the 21st century global economy, and to create the jobs and the infrastructure that will help us create equal opportunities for success for all Americans. At the same time, we are living in a moment where our traditional notions of race and how we talk about it are changing. One question keeps coming up: with an African-American President leading our country, do we still need to think about and create solutions for historic barriers to opportunity? The answer? Absolutely.

As we reflect on our first year under Team Obama, and on the one-year anniversary of the historic American Reinvestment and Recovery Act, also known as the stimulus, our goals must be clear: we need to ensure that all Americans have access to the education, training, and jobs they need to succeed; and we must make every effort to bring opportunity to communities that were already hurting before the economic crisis. Historically, the groups who’ve been hurting the most are communities of color and women. Unfortunately, we’ve seen time and time again that access to full and equal opportunity is very much a mixed reality, and these groups are being left behind in ways that hard work and personal achievement alone cannot address.

There's more...

Diaries

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