The 10% bracket takes up the bottom of the old 15% bracket, so it's one of the few breaks in the plan that anybody who pays income tax will see. It's not the most progressive way to do tax relief, since it applies to all taxpayers, but it's better than most of the other stuff in the plan.
The new bill is still stacked towards upper- income people. It's just not quite as bad as what Bush proposed, though the marriage penalty fix cuts taxes for couples who had marriage bonuses to begin with and is arguably worse than Bush's proposal for a two-earner deduction.
mbs
Max,
According to one news report I watched, the Bush tax scheme would start a new category -- those earning $6,000 per year would be taxed at 10%. This seems like it will hurt lots of disabled persons since many are working part time, as well as students. If I remember correctly the standard deduction on the tax form is over $6,000. So what is going on here. Who is going to get the load of this tax?
Marta