Validation, Again: Middle Income Tax Rates Went Up

From the time Bush showcased his tax cuts plan, detractors have been hammering that the plan only saved money for the rich and uber rich. More than one study has validated this claim, yet Bush supporters still refused to see the light. Now, the CBO is showcasing their study, which shows...are you sitting down? Tax rates for you middle-incomers are going UP. IOW, you are paying for the rich to keep their money.
Families earning more than $1 million a year saw their federal tax rates drop more sharply than any group in the country as a result of President Bush’s tax cuts, according to a new Congressional study.

The study, by the nonpartisan Congressional Budget Office, also shows that tax rates for middle-income earners edged up in 2004, the most recent year for which data was available, while rates for people at the very top continued to decline. I'm wondering how many more studies do we need before we believe that the Bush tax cuts were never meant for the regular Jane and Joe?

Here are a few tidbits from the article:

Families in the middle fifth of annual earnings, who had average incomes of $56,200 in 2004, saw their average effective tax rate edge down to 2.9 percent in 2004 from 5 percent in 2000. That translated to an average tax cut of $1,180 per household, but the tax rate actually increased slightly from 2003.

Tax cuts were much deeper, and affected far more money, for families in the highest income categories. Households in the top 1 percent of earnings, which had an average income of $1.25 million, saw their effective individual tax rates drop to 19.6 percent in 2004 from 24.2 percent in 2000. The rate cut was twice as deep as for middle-income families, and it translated to an average tax cut of almost $58,000.

Source:
Thoughts of an Average Woman