Doing The Math On Candidates' Tax Plans

(CBS)  CBS News asked the non-partisan Tax Policy Center to calculate what individuals' tax burdens would be under each of Barack Obama and John McCain's proposed plans.

The first example family had a modest income of $35,000 a year. Under the current law, that family gets a tax credit - a check from the government - of $2,765, CBS News correspondent Nancy Cordes reports.

Obama and McCain would give them even more: $1,400 more from Obama and $480 more from McCain.

The next family of four made $50,000, the median income. Half the country's tax filers make that much or less.

Right now their 2009 tax bill was slated to be about $772.

But McCain would double the tax deduction for children, dropping their bill to $51. Obama promises a new worker tax credit, which would actually wipe out their bill, leaving them with a refund for $232.

At $150,000, Obama and McCain's tax bills are nearly identical. Right now that family's bill is $18,370.

Obama would shrink it by about $1,000; McCain, by $1,200.

At $200,000, a family's tax bill would stay the same under both candidates. But at the top of the ladder, $250,000, things change.

Not under McCain, who continues to bill that family just more than $42,000. But this is where Obama's tax increase kicks in - in this case, by $600.

"The bottom line is neither man pays for his tax cuts," said Robertson Williams of the Tax Policy Center. "By our estimates, Sen. Obama's plan would increase the federal deficit by about $3.5 trillion over the next 10 years. Sen. McCain would be even worse - about $5 trillion."

Which suggests that unlike our four families, neither candidate is focused on balancing his budget - yet.

[frillysunshi]

Thank you CBS and Nancy for this informative piece. I read Wyatt Andrews'' article yesterday and was left with the impression that he was biased b/c he failed to compare Obama and McCain''s plan and also to cite where he was getting his info from. As I can tell you did both, and I feel more comfortable with who I cast my vote for. Thank you.

[kimchongse]

Go to NumbersThatMatter.com to calculate what YOU will save based on YOUR income.

http://www.numbersthatmatter.com/

[aldon61]

Do your homework. Stop relying on biased "facts" from websites from EITHER Obama or McCain. Use data from the US Census to get population and income levels. If only the 1.6 million families making over $250K per year pay for Obama''''s $1.2 trillion spending package, each family will receive a $750,000 tax bill, on top of what they are already paying. There are not enough people in this group to spread out the bill. This means the income level has to be lowered to include middle class to pay the $1.2 trillion.


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Posted by ronarndt at 03:13 PM : Oct 31, 2008

I''ll take the Tex Policy Center''s word for it, they are non-biased.

[ronarndt]

Do your homework. Stop relying on biased "facts" from websites from EITHER Obama or McCain. Use data from the US Census to get population and income levels. If only the 1.6 million families making over $250K per year pay for Obama''s $1.2 trillion spending package, each family will receive a $750,000 tax bill, on top of what they are already paying. There are not enough people in this group to spread out the bill. This means the income level has to be lowered to include middle class to pay the $1.2 trillion.

[ronarndt]

Do your homework. Stop relying on biased "facts" from websites from EITHER Obama or McCain (or news organizations). Use data from the US Census to get population and income levels. If only the 1.6 million families making over $250K per year pay for Obama''s $1.2 trillion spending package, each family will receive a $750,000 tax bill, on top of what they are already paying. There are not enough people in this group to spread out the bill. This means the income level has to be lowered to include middle class to pay the $1.2 trillion.

[vegas11408]

Sickens me that McCain the rich would be tax less and get richer. So perhaps McCain is doing it all for himself, reduce tax for the rich and reduce estate tax from 45% to 15%. And he owns what 7 homes? Seems like a selfish SOB to me...Appears the Rich was to exploit many of middle class americans...

[meinnv]

The first example family had a modest income of $35,000 a year. Under the current law, that family gets a tax credit - a check from the government - of $2,765, CBS News correspondent Nancy Cordes reports.

Obama and McCain would give them even more: $1,400 more from Obama and $480 more from McCain.

The next family of four made $50,000, the median income. Half the country''s tax filers make that much or less.

******************

My bad, the way it started, they said "a family"; then continued with "family of four".

Now here''s the real issue, what about the families of say 2, 3 or 5 or more??

What do the smaller families see in their tax future??

What about the families with 5 or more???

Like my mother and myself, what would our tax future look like??

Tried the website, doesn''t give you much since they only ask the "yearly" amount. Not about your familiy size. Looking at that misleads me into thinking our taxes would drop under Obama.

In actuality, would they???

[meinnv]

The mail carrier just got here, what are the chances of me seeing the government bail-out check today??

Hahahahaha

[meinnv]

Here is another idea....

Instead of bailing out companies who have sqaundered away their undeserved millions/billions of dollars on hair-brained schemes and GREED, why not invest in the people??

Yeah, novel idea there. Taking care of hard-working Americans first. Hang on people it could catch on.

Like those working their butts off to pay the IRS?? As I said, my mother owes $3400 per year, and she isn''t rich. It''s her and me. She works, I would if my Asthma was under control (I haven''t been on any Asthma maintenance meds since I turned 19 and her insurance dropped me), so I live with her. She doesn''t have a problem with it.

She is taking care of other people by paying into the ill-conceived IRS, why not reward her for not allowing me to be the government''s burden?? I don''t receive public assistance, never did and likely never will.

If I were homeless I would qualify for everything under the sun & moon. If everyone took care of themselves or their famlies, we wouldn''t need social programs--welfare, medicaid or food stamps.

She has been responsible and not allowed me to be the burden of society, and there are others like her who deserve the bail-out, not the greedy corporations.

So, when can we see our check??? LMBO

[kimchongse]

NumbersThatMatter.com lets you calculate what YOU will save based on YOUR income.

http://www.numbersthatmatter.com/