Good Money Blog

We’ve examined the possible financial impacts of the Presidential candidates in a previous post.

Today, Tax Policy Center, a nonpartisan policy group made up of nationally recognized experts in tax, budget, and social policy, released a report that illustrated how the average tax bill of different income groups could change in 2009 if either John McCain’s or Barack Obama’s tax proposals were fully in place:

Breaking Down the Numbers
	McCain	Obama
Income	Avg. tax bill	Avg. tax bill
Over $2.9M	-$269,364	+$701,885
$603K and up	-$45,361	+$115,974
$227K-$603K	-$7,871	+$12
$161K-$227K	-$4,380	-$2,789
$112K-$161K	-$2,614	-$2,204
$66K-$112K	-$1,009	-$1,290
$38K-$66K	-$319	-$1,042
$19K-$38K	-$113	-$892
Under $19K	-$19	-$567

Reference: The Tax Policy Center - CNNMoney

McCain

• Every income group would pay less in taxes.
• Middle-class taxpayers (with incomes of $66K-$227K)
  • After-tax income: +1.8% ($1,009-$4,380)
• The highest-income groups
  • After-tax income: +3.4% ($45,000 and up)
• The lowest-income groups -
  • After-tax income: +0.4% ($19-$319)
• Increase the national debt by $4.5 trillion in 10 years.

Obama

• Everyone but the high-income taxpayers ($250K+) would pay less in taxes.
• Middle-class taxpayers (with incomes of $66K-$227K)
  • After-tax income: +1.5% ($1,290-$2,789)
• The highest-income groups
  • After-tax income: -8.7% ($116,000 and up)
• The lowest-income groups
  • After-tax income: +2.7% ($567-$1042)
• Increase the national debt by $3.3 trillion in 10 years.

Which Presidential candidate will do you a bigger favor?