How Much Will the Bush Tax Plan Cost?
As of March 2001, $-billions
fiscal years 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2002-11
Campaign estimates per Joint Committee on Taxation, preliminary (no interest), May 2000
PIT rate cuts $ –18.3 $ –36.1 $ –57.3 $ –74.6 $ –97.8 $ –107.3 $ –109.5 $ –112.0 $ –114.5 $ –117.0 $ –844.4
Other PIT cuts –2.6 –13.3 –22.7 –32.3 –42.5 –51.2 –53.2 –55.6 –58.0 –60.4 –391.7
Estate tax repeal –7.8 –8.3 –15.9 –23.4 –30.7 –42.8 –52.0 –55.3 –61.0 –297.2
Corporate –0.2 –0.2 –0.6 –2.7 –3.4 –4.0 –4.5 –4.9 –5.1 –5.3 –30.8
SUBTOTAL $ –21.1 $ –57.4 $ –88.9 $ –125.5 $ –167.1 $ –193.2 $ –210.0 $ –224.5 $ –232.9 $ –243.7 $ –1,564.2
Speed up small part of PIT rate cut per Joint Committee, March 2001, and update other items for CBO Jan. 2001 projections. No AMT adjustment
PIT rate cuts* $ –54.7 $ –54.4 $ –70.8 $ –80.9 $ –103.0 $ –113.4 $ –116.0 $ –118.7 $ –121.7 $ –124.7 $ –958.2
Other PIT cuts –2.7 –13.6 –23.2 –32.9 –43.4 –52.2 –54.2 –56.7 –59.2 –61.6 –399.6
Estate tax repeal –8.1 –8.7 –16.7 –24.7 –32.5 –45.6 –55.5 –59.3 –65.7 –316.7
Corporate –0.2 –0.2 –0.7 –3.3 –4.2 –4.9 –5.5 –6.1 –6.4 –6.7 –38.2
SUBTOTAL $ –57.6 $ –76.3 $ –103.4 $ –133.8 $ –175.2 $ –203.0 $ –221.3 $ –237.0 $ –246.5 $ –258.7 $ –1,712.7
Fix the AMT (Bush-caused AMT problem only, per Joint Committee, March 2001)
PIT cuts w/ AMT fix** $ –58.4 $ –71.7 $ –101.0 $ –127.1 $ –167.3 $ –202.2 $ –212.7 $ –224.2 $ –236.4 $ –249.1 $ –1,650.0
Estate tax repeal –8.1 –8.7 –16.7 –24.7 –32.5 –45.6 –55.5 –59.3 –65.7 –316.7
Corporate –0.2 –0.2 –0.7 –3.3 –4.2 –4.9 –5.5 –6.1 –6.4 –6.7 –38.2
SUBTOTAL $ –58.7 $ –80.0 $ –110.4 $ –147.1 $ –196.1 $ –239.6 $ –263.8 $ –285.8 $ –302.0 $ –321.4 $ –2,004.9
Added interest payments +1.9 +5.4 +10.6 +17.7 +27.2 +39.1 +52.9 +68.4 +85.5 +104.1 +412.7
TOTAL COST $ –60.6 $ –85.4 $ –121.0 $ –164.8 $ –223.3 $ –278.7 $ –316.7 $ –354.2 $ –387.5 $ –425.5 $ –2,417.6
*HR 3, as passed by the House Ways and Means Committee, 3/1/2000, per Joint Committee on Taxation, 3/1/2000.
**Includes the $292.2 billion ten-year cost of fixing the Bush-caused AMT problem according to the Joint Committee on Taxation, 3/1/2000.
Notes: PIT means personal income tax. Very small fiscal 2001 costs due to the partial rate cut speed-up (less than $6 billion) are included in fiscal 2002 figures above.
Sources: Joint Committee on Taxation, May 2000 and March 2001; Congressional Budget Office, January 2001; Citizens for Tax Justice March 2001.
Citizens for Tax Justice, March 2001