Income $500,000

No dependents

Itemized deductions 70,000

Personal exemption 0

Tax using current tax law Tax under Bush proposal

Taxable income $430,000 Taxable income $430,000

Child tax credit 0 Child tax credit 0

Total taxes 142,097 Total taxes 123,460

Tax cut under Bush proposed rate change $18,637

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Percentage tax cut 13.12

Increase in family income 3.73%


© 2001 Deseret News Publishing Company

Source: D. Brock Griffiths, tax specialist with Ernst & Young

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