Tax Provisions in The President's Economic Stimulus Proposals

The President's stimulus plan would accelerate major elements of the income tax cuts enacted in 2001, provide additional temporary AMT relief, exempt dividends earned by individuals from income tax, and provide additional accelerated tax write-offs for small businesses. The tax provisions in the President's plan would cost $98 billion in 2003 and $670 billion over ten years. An additional $4 billion is earmarked for "personal reemployment accounts." This paper outlines the provisions of the President's plan and their distribution.