| Effects of the Tax Cuts in the House GOP 2000 Minimum Wage Bill | ||||||||
| (Annual effects at 1999 levels; $-billion except averages.) | ||||||||
| Income Group | Income Range | Average Income | Estate Tax Cuts | Corporate Tax Breaks | Pensions & 401Ks | Total Tax Cuts | Average Tax Cut | % of Total Tax Cut |
| Lowest 20% | Less than $13,600 | $ 8,600 | $ –0.0 | $ –0.0 | $ –0.0 | $ –0.0 | $ –1 | 0.3% |
| Second 20% | $13,600–24,400 | 18,800 | –0.0 | –0.1 | –0.0 | –0.1 | –4 | 0.9% |
| Middle 20% | $24,400–39,300 | 31,100 | –0.0 | –0.2 | –0.0 | –0.2 | –7 | 1.7% |
| Fourth 20% | $39,300–64,900 | 50,700 | –0.0 | –0.3 | –0.0 | –0.3 | –13 | 3.0% |
| Next 15% | $64,900–130,000 | 86,800 | –0.0 | –0.4 | –0.1 | –0.6 | –29 | 5.3% |
| Next 4% | $130,000–319,000 | 183,000 | –0.8 | –0.5 | –0.4 | –1.7 | –329 | 15.7% |
| Top 1% | $319,000 or more | 915,000 | –5.7 | –1.4 | –0.7 | –7.7 | –6,128 | 73.1% |
| ALL | $ –6.5 | $ –2.8 | $ –1.2 | $ –10.6 | $ –83 | 100.0% | ||
| ADDENDUM | ||||||||
| Bottom 60% | Less than $39,300 | $ 19,500 | $ –0.0 | $ –0.3 | $ –0.0 | $ –0.3 | $ –4 | 2.8% |
| Top 10% | $92,500 or more | 218,000 | –6.5 | –2.0 | –1.1 | –9.7 | –765 | 91.4% |
| Figures show the annual effects of the approximately $123 billion in tax cuts over the next 10 years included in the GOP minimum | ||||||||
| wage increase plan to be voted on by the House on March 9 or 10. All provisions are measured as fully effective, at 1999 | ||||||||
| income levels. Distributional figures do not include the faster phase-in of the self-employed health insurance deduction. | ||||||||
| Source: Institute on Taxation and Economic Policy Tax Model. | ||||||||
| Citizens for Tax Justice, March 7, 2000 | ||||||||