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Feb 28, InPresident George Bush authorized a tax cut called the Economic Growth and Tax Relief Reconciliation Act of (EGTRRA) to stimulate the economy during the recession that year. 2 3 The major provisions were to reduce marginal income tax rates and reduce and eventually repeal estate tax. As a result, it saved taxpayers, but not equally.

The Bush tax cuts are currently scheduled to expire at the end ofand the tax parameters revert back to their values (the current law baseline). Figure 4 displays the trend in federal deficits as a percentage of GDP from to Under current law, the federal deficit is projected to decline from % of GDP in to less than 2% of GDP in If the Bush tax.

Bush and Bill Clinton had to do the same in and, respectively.

Jun 07, The “fiscal cliff” deal cemented the vast majority of the 20Bush tax cuts into permanent law. According to one estimate, 82 percent of the Bush tax cuts were made permanent inwhile only 18 percent were allowed to stumplopping.barted Reading Time: 7 mins.

Feb 20, Marginal income tax rate reductions. The Bush tax cuts reduced the then percent rate to 35 percent, the 36 percent rate to 33 percent, the 31 percent rate. The Bush tax cuts have contributed to revenues dropping in to the lowest level as a share of the economy sinceand have been a major contributor to the dramatic shift from large projected budget surpluses to projected deficits as far as the eye can see.