For Immediate Release
Thursday, February 08, 2001
Congress: Don't Pass Huge Tax Cut for the Rich
WASHINGTON —The American Federation of State, County and Municipal Employees, AFL-CIO, strongly criticized the Bush administration's proposed income and estate tax cuts today, saying they would unfairly benefit the top tier of taxpayers and endanger the country's financial stability while draining vital resources needed to meet its biggest challenges.
"The wealthy made out like gangbusters in the 1990s, but now the Bush gang wants to shower them with even more money and bust the budget for years to come," said President Gerald W. McEntee. "Average working Americans deserve much more bang for their buck."
Although the income gap between the wealthiest and middle- and lower-income families widened over the last decade, the Bush tax plan would hand over 40 percent of its benefits to the top one percent of taxpayers, according to previous independent analyses. In addition, repeal of the estate tax would only benefit the wealthiest two percent of taxpayers and signify the loss of billions of dollars more in revenue for federal and state governments.
Some estimates place the cost of the Bush plan as high as $2.6 trillion, which would eat up the entire, projected non-Social Security budget surplus and require cuts in existing programs targeted to the middle class and poor. This figure does not include additional tax breaks for big corporations that would likely be added to the package as it moves through Congress.
Instead, the AFSCME President urged Congress to spend more money on the pressing needs of working families and the most vulnerable Americans such as prescription drug coverage under Medicare, affordable and quality health care coverage for all, and better schools, housing, transportation, and other essential investments in the nation's future.
"President Bush's gigantic tax cut for the rich doesn't make economic sense, and it doesn't make moral sense," Mr. McEntee said. "Why not save and spend in a way that will help all Americans?"
For more information on the Bush tax cut, see:
