Medicare is presently 1.45% (no limit), so that's $580; FICA is 6.2% (only on first $87,000 in 2003), so that's $2,480 or a total of $3,060 on $40,000.
Max notes in a later post:
> The percentage reduction in taxes is huge because it
> is in fact the case that, increasingly, the bottom
> half of the income distribution has no positive Federal
> income tax liability. (The bottom 40% has on average a
> negative liability.) The Bush proposal advances this trend.
... and isn't this as it should be?