The Top 10 Myths About the Bush Tax Cuts

As we approach the deadline for filing federal income taxes just about a month and a half from now, and as the debate about extending or repealing the Bush tax cuts heats up, I wanted to share with Associated Content readers and writers the top 10 prevailing myths about the Bush tax cuts, as compiled by the Heritage Foundation. The following list was prepared by Brian Riedl at Heritage, and includes some of my own observations about the Bush tax cuts.

Myth Number 10: The Bush tax cuts were tilted toward the rich.

Fact: The rich pay even more of the burden now. From 2000 to 2004, the share of all individual income taxes paid by the bottom 40% of taxpayers dropped from 0% to -4%, meaning that the average family in those quintiles received a subsidy. The share paid by the top 20% of households increased from 81% to 85%. I can personally vouch for this. I have actually received a refund amount larger than the amount of taxes I paid. So has my brother. That means the government took money, in the form of taxes, from someone else and gave it to me. That is the redistribution of wealth and is a fundamental tenet of socialism.

Myth Number 9: The Bush tax cuts have not helped the economy.

Fact: The economy responded strongly to the 2003 tax cuts. The 2003 tax cuts lowered income capital gains and dividend tax rates. These policies increased market incentives to work, save and invest, creating jobs and increasing economic growth.

Myth Number 8: Tax cuts help the economy by "putting money in people's pockets."