The White House has said the tax reform framework was crafted with the middle class in mind.
However, a report released Oct. 4 by the Institute on Taxation and Economic Policy, said the richest 1 percent of residents in all but a handful of states would receive at least half of the tax cuts being considered by Congress.
The framework calls for rate cuts in individual and corporate taxes for most taxpayers. More than two-thirds of the cuts contained in the framework would go to the richest 1 percent in 2018, the ITEP report said.
Those taxpayers are projected to have incomes of at least $615,800 next year, the report said. They would receive an average tax cut of $90,610 in 2018, increasing the incomes by an average of 4.3 percent.
The middle fifth of households, projected to earn between $41,000 and $66,000 in 2018, would receive an average tax cut of just $410 next year, which would increase their incomes by an average of just 0.8 percent, the report said. Read more
