Most High Income Bracket Taxpayers Won't See Big Increases From Eliminating Bush Tax Cuts
The nonpartisan congressional Joint Committee on Taxation found that the proposed maintenance of the Bush tax cuts for all but individuals earnings at least $200,000 and couples earning at least $250,000 would not have a particularly significant affect on the tax bills of those in the upper two brackets. The report found that the average tax increase for those earning between $200,000 and $500,000 would be $532.
For those earning between $500,000 and $1 million, their tax bill would increase by an average of about $10,000, and the average tax bill for those earning over $1 million would increase approximately $100,000. There are approximately 608,000 taxpayers who earn between $500,000 and $1 million, and 315,000 taxpayers who earn more than $1 million.
The Joint Committee on Taxation expects that there will be approximately 161 million tax returns filed for 2010 with less than 5,000,000 (about 3%) returns filed by those earning more than $200,000. The plan would raise about $38 billion.
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