When the Tax Cuts of 2001 and 2003 expire in 2011 people across the country are going to see the federal government taking more and more of their hard earned money! When Obama, Reid, Pelosi, and the rest of the corrupt Washington politicians claim that these are just tax cuts expiring they are lying – the net effect will be to RAISE our taxes. THIS IS OUR MONEY and THEY HAVE NO RIGHT TO IT!!!!! Our taxes are going up, THAT IS A TAX INCREASE.
Taxes will soar in a number of critical areas, read below to see just how our bloated government plans to take more and more from all of us:
First Wave: Expiration of 2001 and 2003 Tax Relief
In 2001 and 2003, Congress enacted several tax cuts for investors, small business owners, and families. These are all currently set to expire on January 1, 2011:
Personal income tax rates will rise. The top income tax rate will rise from 35 to 39.6 percent (this is also the rate at which two-thirds of small business profits are taxed). The lowest rate will rise from 10 to 15 percent. All the rates in between will also rise. Itemized deductions and personal exemptions will again phase out, which has the same mathematical effect as higher marginal tax rates. The full list of marginal rate hikes is below:
- The 10% bracket rises to an expanded 15%
- The 25% bracket rises to 28%
- The 28% bracket rises to 31%
- The 33% bracket rises to 36%
- The 35% bracket rises to 39.6%
This will affect people of all income levels!
Higher taxes on marriage and family. The “marriage penalty” (narrower tax brackets for married couples) will return from the first dollar of income. The child tax credit will be cut in half from $1000 to $500 per child. The standard deduction will no longer be doubled for married couples relative to the single level. The dependent care and adoption tax credits will be cut. This will affect all people who are married and/or have children.
The return of the Death Tax. This year, there is no death tax. For those dying on or after January 1 2011, there is a 55 percent top death tax rate on estates over $1 million. A person leaving behind two homes and a retirement account could easily pass along a death tax bill to their loved ones.
Higher tax rates on savers and investors. The capital gains tax will rise from 15 percent this year to 20 percent in 2011. The dividends tax will rise from 15 percent this year to 39.6 percent in 2011. These rates will rise another 3.8 percent in 2013.
Join us to demand that Congress doesn’t create a double-dip recession by raising taxes! We the undersigned demand that President Obama and Congress:
1. Keep tax rates at current levels
2. Keep tax rates so there is no “marriage penalty”
3. No cuts in deductions for adoption or dependent care
4. No return of the Death Tax.
5. Keep capital gains tax rate at 15%