More than 20 million low and middle income Americans are facing a tax hike from Republicans, if Senate Minority Leader Mitch McConnell (R-KY) can get enough votes to extend only a portion of the Bush tax cuts, which are set to expire at the end of this year.
Families with children would be hit hardest under the Republican plan, since it would end the Child Tax Credit and Earned Income Tax Credit, which was enhanced by President Obama in 2009.
The revenue from the poor and middle class tax increases offset a portion of the tax cuts that would be extended for wealthy Americans.
McConnell’s plan also ends additional Obama Administration tax credits for college tuition.
The Center for American Progress sites a report by Citizens for Tax Justice that demonstrates just how far-reaching the Republican tax increases would be. “8.9 million families benefit from the Child Tax Credit improvement while 6.5 million benefit from the Earned Income Tax Credit improvements. But some families benefit from both. In total, 13.1 million families are affected if the enhancements to both credits expire.”
Senator McConnell (R-KY) hopes to pass the bill next week.
The Bush tax cuts explained
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