Skip to contentNational Women's Law Center

H.R. 8: A Bill that Hurts Millions of Moms

I’m at that time in life when lots of my friends are having kids. I’m thrilled for my friends - their kids are awesome and adorable. But one thing they’re not is cheap. And if Republicans have their way, kids are about to get even more expensive.

New analysis by the Tax Policy Center shows that the tax bill (H.R. 8) introduced by Rep. Dave Camp (R-MI) (a bill virtually identical to S. 3414 which was introduced by Senate Republican leaders and rejected by a majority of the Senate last week) ends tax cuts for millions of hard-working families. In fact, more than one-third of all families with children and nearly three-quarters of low-income families with children (who make an average of $17,400 a year) would lose valuable tax benefits under Rep. Camp’s bill. The loss would be particularly hard for women who are the majority of low-income parents.

Wonder why so many families will lose out under Rep. Camp’s tax bill? It, like the bill introduced by Senate Republican leaders, would end tax cuts for low- and moderate-income families that were put into place by the American Reinvestment and Recovery Act of 2009. The National Economic Council estimates that by letting these tax cuts expire:

  • 12 million families would lose an average of $800 from the elimination of the Child Tax Credit expansion.
  • 11 million families would lose an average of $1,100 from the repeal of the American Opportunity Tax Credit for college expenses.
  • 6 million families would lose an average of $500 from the elimination of improvements to the Earned Income Tax Credit.

But guess who won’t lose any of the tax breaks they’ve become accustomed to?

If you guessed millionaires, you’d be right. The analysis by the Tax Policy Center also shows that they won’t lose a penny of their tax cuts next year, which should be worth about $160,000. That’s because Rep. Camp’s bill very generously extends Bush-era income tax cuts that only benefit the richest two percent of Americans and the 2010 estate tax cuts for the richest 0.3 percent (estates over $7 million per couple).

The House is scheduled to vote on Rep. Camp’s tax bill this week. They’ll also have an opportunity to vote for an alternative: H.R. 15, introduced by House Democratic leaders, would end tax cuts that only benefit the richest two percent while extending the Bush-era tax cuts on income up to $250,000 ($200,000 for a single taxpayer) and the Recovery Act tax cuts for working families.

So, for my friends who have kids – or soon will – I’m going to do two things. First, I’m going to call my Representative at 1-888-744-9958 to say what I think about extending tax cuts for the richest two percent and leaving millions of moms and kids behind.

And, for my next baby shower, instead of a great zebra onesie, maybe I’ll just bring some cash…my friends just might need it!

PS – Want more info on H.R. 8? Check out our new fact sheet.


Everyone Pays Taxes

Here is the breakdown of the Federal, SS and Medicare Taxes payed in 2009.

Bottom 50%... Avg. AGI $15,000.. Min AGI $6,450 AGI Earned 13.5% Avg. Eff. Tax Rate 9.5%

Top 25%........Avg AGI $149,293 Min AGI $66,200 AGI Earned 65.8% Avg. Eff Tax Rate 22.33%

Top 10%.......Avg AGI $244,963 Min AGI $112,000 AGI Earned 43.2% Avg. Eff Tax Rate 22.2%

Top 2%.......Avg AGI $1,000,000 Min AGI $154,600 AGI Earned 31.7% Avg. Eff Tax Rate 22.6%

Top 1%......Avg AGI $1,000,000 Min AGI $344,000 AGI Earned 16.9% Avg Eff Tax Rate 26.2%

Top .1%....Avg AGI $4,420,290 Min AGI $1,433,000 AGI Earned 7.8% Avg Eff Tax Rate 25.88%

So... As you can see... Everyone pays taxes...The Super Rich pay just a little more than the Very Rich.

If we where to include State Income, Property and Sales Taxes, the Poor percentages would go up much higher than the middle class or the rich.

Regarding Romney's 2010 Taxes

As you can see,Romney is in the (.1%) Tax bracket... Now, the average tax filer in that category payed almost 26% in Federal Taxes whereas Romney only payed 13.9%... that is only HALF of what his fellow Super Rich fellows payed.... You mean to tell me that the average multi-millionaire or billionare can't afford better accountants?

Tax bill hurting women

Single women, even single mothers, don't vote. in great numbers, in part because election days are mostly on a Tuesday. Many women are wives and daughters or the superrich and they may vote more, but not against proposed laws like this. As others have noted, the poor and what's left of the middle class pay lots of taxes, just not federal income taxes. It's too bad the wannabe rich believe the Neorepublican myth that they would be rich if it weren't for the federal income tax.

Balance the Budget

...Balance the budget by making the upper 2% pay their fair
share! This has always been the case in history when the
budget was balanced, until Bush stopped it all.

Life long democrat. To say

Life long democrat. To say when the budget was balanced is a bold face lie. it has never been balanced since 8 years after the first one was submitted. The only time we came close was when we took land from indians and sold it to settlers. your Ignorance is showing, good luck with that G.E.D.

Wow, it shouldn't surprise me

Wow, it shouldn't surprise me people regurgitating Fox News "facts" on here. We are talking about Federal Income Tax, the poor pay sales tax, state, local, Social Security and Medicare, taxes on gasoline or other usage taxes, etc. to say the poor don't pay taxes is a gross generalization that maybe some of you should do a little research before stating what you obviously don't know!!

Your article

Lady, you need to call the Mark Levin show and let him "educate" you because your facts are ridiculously wrong. But as with most drones, you can't be brought to the light by things like actual facts, you are stuck in your liberal brainwashing. Yeah, lets keep Obama going and ruin our military, our economy gets worse everyday, and the health system is going to epicalyly fail all as you all march along like sheep to marxism. Not under my watch. But thanks for trying to brain-wash a bunch more women that dont' know any better and won't go out and hunt downt he facts for themselves.

Right on Jon

Funny how you write that the rich are given $160,000 and the poor have money taken away but the reality is that those are not real numbers but a bunch of what if's - you really need to get your facts straight and remember that somebody has to be contributing to the system to hand out all of this money!

According to the

According to the Congressional Budget Office, in 2010 the top 1% that everyone despises so much paid 38% of all of the income tax the government collected. The top 10% paid almost 70%, and the top 20% paid virtually all of the income tax. Meanwhile, over 45% of households paid absolutely no income tax whatsoever.

Guess who is included in that 45%. Those 29 million families who were mentioned above. You see, it doesn't matter that they are losing the tax credits because they don't pay any tax to begin with.

So let me ask this question: What percentage of their income should millionaires and billionaires pay as income tax? How about all of it? Would that make you happy? Well, guess what. Even if the government took 100% of their income, it wouldn't even equal $1 trillion which wouldn't even put a dent in the government budget.

Draw your own conclusions.

Well Dana the top 20% earn 85

Well Dana the top 20% earn 85 percent of the wealth in this country. So it is not unfair that they pay taxes in proportion to their wealth/income. In '07 the top 1% held 35% of the wealth in the US. Most of you people commenting don't even understand how much you will be affected. Your shepherds are telling you that all your hard earned money is going to lazy people and welfare queens. Wait til you or family numbers need Medicare/medicaid, loans for college, get laid off and need unemployment. The evil govt will no longer be able to support your state and teachers, police officers, firemen, etc. get let go. This is already happening and going to get much worse under conservative leadership. Be careful what you wish for.

Tax cuts

Excuse me, but a single woman making $17,000 or so a year is absolutely going to be paying taxes. Only the ultra-ultra-poor are in that "over 45 percent"--which should make us all sit up and wonder why so many are that poor!

Ok how is this for a

Ok how is this for a conclusion. I have always gotten a full refund and with these credits we get a few thousand back every year. My family is low income and we have 3 children. Losing that couple thousand would be devastating. That money gets used for trivial things millionaires and billionaires don't worry about like catching up on bills, buying clothes for my family, purchasing extra groceries to try and ease the bidget strain for awhile, replacing furniture that has worn out or broken. I know what you will say "Your children don't need beds! And you don't need a new mattress even though the 20 year old one you sleep on makes your medical problems worse. And your kids can wear whatever ripped up and ill fitting hand me downs they can get. With better money management none of that would be a problem." That top 1% your ignorance is weeping for will not feel any effects from paying in a larger %, especially since so many of them have money stashed all over the world to avoid paying in. You bet your butt someone well under the poverty line will notice even an extra $10 missing from their paychecks and without those credits and deductiins for working families i truly believe things in this country would be much worse. In conclusion, i pray for the day they can learn to grow organs in petri dishes. Obviously some people could use a heart.

It is amazing how very

It is amazing how very affluent people will make assumptions that are entirely false! I have been told that if I saved more money before I had a child; I wouldn't be so poor. I think in my head but I DID have a nice fat savings when I got married and had a kid!! What they dont know of any tragedies that have occurred from marriage, birth and onward.. low income families need ther tax break more than the top 1% enough said!

Dana is just parroting what

Dana is just parroting what the shepherds tell her to say. Notice she mentions the percentage of tax paid, but not the percentage of income these taxpayers have. Can't blame her though - the shepherds never mention that side either. I sure Dana still believes the "job creator" LIES too, even after 10+ years of the bush tax cuts which overwhemingly benefitted the ultra-wealthy.

That 45% didn't pay because

That 45% didn't pay because they made almost nothing! How can you care so little about the super hard working parents out there!? Boggles my mind how so many people care only of themselves. I'm not saying make the rich pay more, I'm saying stop giving the "breaks" where they are not needed. You think the 1% COUNTS on those breaks in order to get their kids food, or school supplies, or pay to get their car fixed so they can keep working, etc? NO THEY DON'T. But working parents do! They count on it for survival - of themselves and their children.

tax laws

this needs to change

Post new comment