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Skriven 2006-05-17 23:34:46 av Whitehouse Press (1:3634/12.0)
Ärende: Press Release (0605171) for Wed, 2006 May 17
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Fact Sheet: Extending the President's Tax Relief: A Victory for American
Taxpayers
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For Immediate Release
Office of the Press Secretary
May 17, 2006

Fact Sheet: Extending the President's Tax Relief: A Victory for American
Taxpayers


ÿÿÿÿÿ President Bush Signs Tax Relief Extension Reconciliation Act of 2005
ÿÿÿÿÿ In Focus: Jobs _

Today's Presidential Action

Today, President Bush Signed The Tax Increase Prevention And Reconciliation
Act Of 2005, Extending His 2003 Tax Cuts On Dividends And Capital Gains.
This legislation also contains an Alternative Minimum Tax (AMT) patch
enabling millions of middle income families to avoid paying higher taxes in
2006.

In The Past Five Years, The President's Tax Relief Has Helped Spur Growth
By Keeping $880 Billion In The Pockets Of American Taxpayers. We reduced
taxes for every American who pays income taxes, doubled the child tax
credit, reduced the marriage penalty, created new incentives for small
businesses to invest, and put the death tax on the road to extinction. The
American people have used the tax relief to provide for their families,
create jobs, and help make America's economy the envy of the industrialized
world. The President's tax relief helped our economy grow at a strong 4.8
percent annual rate in the first quarter and helped our economy create more
than 5.2 million jobs since August 2003.

The President's Tax Relief Is Letting Americans Keep More Of Their Own
Money

The President's Tax Cuts On Dividends And Capital Gains Have Succeeded In
Lowering The Cost Of Capital And Encouraging Businesses To Expand And Hire
New Workers. Lower tax rates on dividends and capital gains reduced the
effective tax rate on business investment by more than 15 percent. When
these cuts were passed in 2003, business investment had been dropping for
several years. Since then, business investment has been growing at more
than 9 percent per year. Spending on equipment and software has hit record
levels, and businesses have hired millions of new workers to fill the jobs
this investment creates.

The President's Tax Cuts On Dividends And Capital Gains Are Reaching
Families And Businesses Alike. About half the households in America - 57
million in all - have some investment in the stock market. By cutting the
taxes on dividends and capital gains, we helped add about $4 trillion in
new wealth to the stock market and benefited Americans who own mutual
funds, IRAs, and 401(k) plans.

Dividend Tax Relief Benefits The More Than 28 Million Americans Who Rely On
Dividend Income. In 2003, 7 million seniors received income from dividends.
  þ 

    In 2004, The Number Of Companies Paying Dividends Increased By 7.2
    Percent Over 2003 - The Highest Since 1998.

  þ In 2004, The Amount Of Dividends Paid By S_

The Temporary Alternative Minimum Tax (AMT) Patch Contained In The Tax
Relief Package Enables About 18.2 Million Taxpayers To Avoid Facing Higher
Taxes. In 2005, about 4 million taxpayers were affected by the AMT. Without
this temporary patch, the number would have risen to 22.2 million taxpayers
in 2006.

Because Of The President's 2001, 2003, And 2004 Tax Cuts, The Treasury
Department Estimates That In 2006:
  þ 

    111 Million American Taxpayers Will Save An Average Of $1,877.
  þ 

    A Family Of Four Making $40,000 Will Save $2,010.
  þ 

    More Than 5 Million Individuals And Families Will Have Their Income Tax
    Liabilities Totally Eliminated.
  þ 

    44 Million Families With Children Will Save An Average Of $2,493.
  þ 

    14 Million Elderly Individuals Will Save An Average Of $2,043.
  þ 

    25 Million Small Business Owners Will Save An Average Of $3,641.

Strong Economic Growth And Disciplined Spending Is The Right Way To Reduce
The Federal Deficit

In FY05, Tax Revenues Grew By $274 Billion - An Increase Of Nearly 15
Percent Over The Previous Year. So far this year, tax revenues are 11
percent higher than at the same point last year, which is better than
projected. More than a quarter of these new tax revenues come from
corporations, who pay more taxes as they prosper in our growing economy. By
growing the economy, we are staying on track to meet our goal of cutting
the deficit in half by 2009.

  þ Growing The Economy And Reducing The Deficit Also Depend On Controlling
    The Spending Appetite Of The Federal Government. Every year since the
    President took office, the Administration has slowed the growth of
    discretionary spending that is not related to the military or homeland
    security. The President's last two budgets cut discretionary spending
    that was unrelated to the military or homeland security.

      þ If The Emergency Supplemental Bill - Which The President Has
        Requested To Help Fund The War On Terror And Hurricane Recovery -
        Includes Non-Emergency Or Wasteful Spending Or Exceeds The
        President's Set Limit Of $92.2 Billion Plus Funding To Prepare Our
        Nation For A Pandemic Flu Emergency, He Will Veto It. Americans'
        tax dollars must be spent wisely or not at all.

The President's Tax Relief Has Helped America's Economy Hit Full Stride

GDP Grew At A Strong 4.8 Percent Annual Rate In The First Quarter. This
follows our economic growth of 3.5 percent in 2005 - the fastest rate of
any major industrialized nation last year.

More Than 5.2 Million Jobs Have Been Created Since August 2003, And 138,000
Jobs Were Created In April. The unemployment rate is 4.7 percent, lower
than the average of the 1960s, 1970s, 1980s, and 1990s.

Productivity Increased At A Strong Annual Rate Of 3.2 Percent In The First
Quarter.

Hourly Compensation Rose At A 5.7 Percent Annual Rate In The First Quarter.
Average hourly earnings have risen 3.8 percent over the past 12 months,
their largest increase in nearly five years.

Real After-Tax Income Has Risen By 13.8 Percent Since January 2001. Real
after-tax income has risen by $2,398 (8.2 percent) per person since January
2001.

The Conference Board Index Of Consumer Confidence Increased In April To Its
Highest Level In Almost Four Years.

Most Congressional Democrats Opposed The President's Tax Relief That Helped
Spark These Economic Gains

Last Week, Almost All Congressional Democrats Voted Against Extending The
President's Tax Relief. Most Congressional Democrats voted against the
President's 2001 and 2003 tax relief as well.

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