12 of 22
BACKNEXT
Personal Taxes
Both candidates favor keeping some or all of the Bush tax cuts in place. Wealthy taxpayers win out under McCain's plan, while lower-income earners benefit more under Obama's proposals.

· Make 2001 and 2003 tax cuts permanent for everyone.

· Permanently repeal the Alternative Minimum Tax, the so-called "wealth tax" that threatens the middle class.

"I will...propose...a middle-class tax cut -- a phase-out of the Alternative Minimum Tax to save more than 25 million middle-class families as much as $2,000 in a single year." -- McCain*
· Leave all tax cuts in place for everyone except couples making more than $250,000 and single filers making more than $200,000. Those high-income groups would see their top two income tax rates revert to 36% and 39.6% from 33% and 35% respectively.

· Provide $1,000 tax cut for working couples making less than $250,000.

· Introduce other tax breaks for lower and middle-income households.

"We shouldn't be distorting our tax code to benefit a few powerful interests -- we should be insisting that everyone pays their fair share, and when I'm president, they will." -- Obama**




NEXT: Taxing Business
Last updated October 29 2008: 12:15 PM ET
Source:
*June 10, 2008, Speech, Washington, D.C.
**Sept.18, 2007, Speech, Washington, D.C.
More Galleries
These cities have the world's most expensive beer The world's most expensive cities for beer range from European capitals to financial centers in Asia. These are the destinations where a pint will set you back the most. More
8 great convertibles for summer Slap on some sunscreen and hit the open road in one of these fun open-top cars. More
Corporate America celebrates gay marriage decision Big business took to Twitter to celebrate Friday's historic Supreme Court decision. More

Special Offer