Obama’s 95% Tax Cut Plan.

Sen. Obama has said over and over again that his Tax Plan will cut taxes for 95% of all working Americans. So I wanted to find out more about this plan.  For an example, I wanted to know what is the true definition of the “working American” that  Sen. Obama so often refers to.   So, I thought the best place to find out, would be his website, barackobama.com  and then I would list  Obama’s Comprehensive Tax Policy Plan for America on this site. It includes the following :

1. Cut taxes for 95 percent of workers and their families with a tax cut of $500 for workers or $1,000 for working couples.
2. Provide generous tax cuts for low- and middle-income seniors, homeowners, the uninsured, and families sending a child to college or looking to save and accumulate wealth.
3. Eliminate capital gains taxes for small businesses, cut corporate taxes for firms that invest and create jobs in the United States, and provide tax credits to reduce the cost of health care and to reward investments in innovation.
4. Dramatically simplify taxes by consolidating existing tax credits, eliminating the need for millions of senior citizens to file tax forms, and enabling as many as 40 million middle-class Americans to do their own taxes in less than five minutes without an accountant.

A second part of this tax plan includes a section stated, ” Under the Obama Plan” and it covers the following:

Middle class families will see their taxes cut – and no family making less than $250,000 will see their taxes increase.The typical middle class family will receive well over $1,000 in tax relief under the Obama plan, and will pay tax rates that are 20% lower than they faced under President Reagan. According to the Tax Policy Center, the Obama plan provides three times as much tax relief for middle class families as the McCain plan.

Families making more than $250,000 will pay either the same or lower tax rates than they paid in the 1990s.Obama will ask the wealthiest 2% of families to give back a portion of the tax cuts they have received over the past eight years to ensure we are restoring fairness and returning to fiscal responsibility. But no family will pay higher tax rates than they would have paid in the 1990s. In fact, dividend rates would be 39 percent lower than what President Bush proposed in his 2001 tax cut.

Obama’s plan will cut taxes overall, reducing revenues to below the levels that prevailed under Ronald Reagan(less than 18.2 percent of GDP). The Obama tax plan is a net tax cut – his tax relief for middle class families is larger than the revenue raised by his tax changes for families over $250,000. Coupled with his commitment to cut unnecessary spending, Obama will pay for this tax relief while bringing down the budget deficit.

The bottom line, is if you make more than $250,000 per year. You will probably pay more in taxes. If you make less than that. You will get an Obama Tax Cut. You can get take a peek at this complete plan here. What I like about it. No hidden dreams here. We have a candidate who realized we were in trouble long before President Bush and/or Sen. McCain admitted to it. He was more prepared than Sen. McCain. Sen. Obama has provide an outline on all the issues. I don’t 100% agree with him. But I certainly agree more with him than I do anyone else who ran for President this year or in the last 20 years.