Kennedy, Reagan, and Bush Tax Cuts in Historical Perspective | ||||
---|---|---|---|---|
Tax Legislation | Tax Cut in Billions of Current Dollars (a) | Tax Cut in Billions of Constant 2003 Dollars | Tax Cut as a Percent of National Income (b) | Surplus or Deficit (-) as a Percentage of National Income (b) |
The Kennedy Tax Cuts — Revenue Act of 1964 | -$11.5 | -$54.9 | -1.9% | -1.0% |
The Reagan Tax Cut — The Economic Recovery Tax Act of 1981 | -$38.3 | -$68.7 | -1.4% | -2.8% |
The Bush Tax Cuts | ||||
The Economic Growth and Tax Reform Reconciliation Act of 2001 | -$73.8 | -$75.8 | -0.8% | 1.5% |
The Job Creation and Worker Assistance Act of 2002 | -$51.2 | -$52.0 | -0.6% | -1.7% |
2003 Tax Cut | -$60.8 | -$60.8 | -0.6% | -3.2% |
The Bush Tax Cuts If Combined in 2003 | NA | -$188.1 | -2.0% | — |
(a) First year estimate (b) National Income as measured by Net National Product | ||||
Kennedy, Reagan, and Bush Tax Cuts Compared to Other Budget Items | ||||
As a Percent of Federal Budget (a) | ||||
Tax Legislation | Tax Relief | Social Security | Defense | All Other Domestic Spending |
The Kennedy Tax Cut — Revenue Act of 1964 | 8.8% | 12.8% | 42.1% | 36.3% |
The Reagan Tax Cut — The Economic Recovery Tax Act of 1981 | 5.3% | 19.5% | 22.0% | 53.2% |
The Bush Tax Cuts | ||||
The Economic Growth and Tax Reform Reconciliation Act of 2001 | 3.8% | 22.3% | 15.8% | 58.1% |
The Job Creation and Worker Assistance Act of 2002 | 2.5% | 22.1% | 16.9% | 58.5% |
2003 Bush/Thomas Proposal (as of May 5, 2003) | 2.7% | 21.7% | 17.1% | 58.4% |
The Bush Tax Cuts if Combined in 2003 | 8.1% | 20.5% | 16.2% | 55.2% |
(a) Percentages created by treating tax relief as if it were a budgetary item (b) National Income as measured by Net National Product |