A Comparison of Obama vs Bush of Tax Cutting
People often compare Obama vs. bush when they are referring to tax cutting. Usually people believe that president Bush cut more taxes than Barack Obama and they always choose president bush over Obama when it comes to tax cuts. Making comparisons and preferences has always been the way for people and we cannot blame them for this especially concerning the quantity of tax cuts. And if you are not into politics too much, then you would just consider the truth that Obama had actually called for expiration of some of the tax cuts given by Bush. However, if you dig out the details and look at the statistics and the data, you can see out that actually president Obama is a bigger tax cutter.
Evidently, both of the presidents were big tax cutters and they differed only on how they were able to tackle the tax cuts. While the tax cuts of president bush were massive, they were only targeted for the wealthy people and mostly the wealthiest 25 percent in the US enjoyed the benefits of those tax cuts. The strategy of Obama was to implement tax cuts that will be favorable for the whole population of the United States and not specifically targeting only a few percentage of the nation.
Although Obama called for expiration of a few of the tax cuts by President Bush, he also signed more tax cuts into law which actually increased in value. As a result of the tax cuts made by the Bush administration from 2001 to 2003, the revenue of the US government was reduced to $2.4 trillion dollars. In ten years time, this can be considered to be quite a massive amount for the US. On the other hand, president Obama signed in for two major tax cuts into law. The tax cuts has been of great benefit not only to a few but the whole American population. The tax cuts that have benefited every household of the US were enacted under the American Recovery and Reinforcement Acts. One tax cut that has benefited households was the reduction of the tax by $800 and was enacted under the Making Work Pay tax credits. It cannot be denied that this tax was a very big achievement as it’s provided benefits for the working class comprising a bigger part of the American population. Another tax that has led to a new round of tax reductions has been signed by president Obama in December 2012. One important point to consider in this new tax deal was the extension of the Bush tax reduction programs for an additional two years. All in all, president Obama reduced taxes by $654 billion in two years only.
President Bush had enacted various tax cuts in 2001 to 2003 which reduced the tax revenue of the us government by $2.4 trillion dollars. This does seem to be a massive amount in the ten years. Taking into account the Obama administration, two major tax cuts were signed by the president. These two tax cuts has highly benefited each citizen of the United States. The tax cuts that have benefited every household of the US were enacted under the American Recovery and Reinforcement Acts. The tax cuts included the Making Work Pay tax credit that really reduced the income tax bill of a family by $800. The tax credit was a very great achievement in so far as the working class of America that comprises a majority part of the inhabitants has greatly benefited from. Another tax which has led to a new round of tax reductions have been signed by president Obama in December 2012. One important point to think about in this new tax deal was the extension of the Bush tax reduction programs for an additional two years. In two years time, the Obama administration was able to scale back the taxes by $654 billion.
However, president Obama is looking for a way to close the budget deficit by increasing the revenue from the taxes. Hence, all these tax cuts are temporary and they’ll eventually disappear.