Find the White House fact sheet here.

President Obama and Congressional Republicans have agreed on a set of changes to the tax code that would affect tax liabilities for one or two years. The Tax Policy Center has analyzed the distributional effects of the following provisions:

2011 and 2012

• extend all 2001 and 2003 individual income tax cuts
• extend EITC and child tax credit provisions in the 2009 stimulus act
  • EITC phaseout threshold for married couples filing jointly $5,000 (indexed) above that for single filers
  • 45 percent EITC phase-in rate for families with three or more children
  • $3,000 threshold (unindexed) for refundability of child tax credit
• extend American Opportunity Tax Credit for higher education
• impose the estate tax with an effective exemption of $5 million and a 35 percent tax rate; replace the state death tax credit with a deduction

2011

• reduce the Social Security (OASDI) tax rate on employees to 4.2 percent for 2011; reduce self-employment tax rate by two percentage points but do not reduce the amount that can be deducted against income

2010 and 2011

• implement alternative minimum tax (AMT) patch setting the AMT exemption at $47,450 for single filers and $72,450 for married couples filing jointly ($48,450 and $74,450 for 2011); allow credits against AMT, regardless of tentative AMT
• extend selected “extender” tax provisions
  • deduction for state and local general sales taxes
  • above-the-line deduction for education expenses
  • educator expense deduction

The following tables show the distributional effects in 2011 of those tax provisions, measured against either a current policy baseline or a current law baseline.

Related Tables:

• TPC's has a full guide to tables here.
• TPC's has older estimates here.
• TPC has posted JCT revenue estimates here.
• Tables comparing the Making Work Pay tax credit with the 2-percentage-point payroll tax reduction are available here.
• Tables comparing of 2010 and 2011 Tax Laws here.
• Comparison of alternative estate tax policies here.
• Guide to other estate tax tables here.