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**