Working Family Tax Cuts Announced

Plans by the current administration will increase the tax credit for families to 35% from the current 20% rate on qualifying expenses. The credit will apply to all families that make less than 5,000.

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The president's task force working for middle class tax payers is also calling to cap payments on student loans at ten percent above the allowance for basic living. The changes will also make it easier for persons to establish IRA accounts as well.

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According to the president, people have felt the painful impact of the recession far before it was declared by the economists.

The president hopes to reverse the erosion that has taken place in the security of the middle class so that once there is recovery, Americans that are working can once again pursue their dreams.

The same task force is proposing to expand working family tax credits that will encourage savings for retirements with matching funds. This will help to protect the prospect of retirement as it makes plans for families easier. They also are offering plans to support families that have to balance duties of taking care of elderly parents and work. The hopes of this plan is to allow seniors to live outside of institutions for a longer part of their lives.

Final recommendations from the task force will not be released until February.

The president has promised that he will not rest until jobs are being created and unemployment is lowered in the middle class. He points to the middle class as an important factor in the rebuilding process.

John Boehner of Ohio, a Republican House Leader claims that the president's plans will not help to create new jobs for any class.

Boehner claims that nothing that has been outlined in the proposal of the task force or by the president is going to create jobs. He claims that the president has a job killing agenda as shown by the take over of the health care system by the government. Other areas that are killing jobs include the national energy tax, new debt and reckless spending. More taxes as well as regulations are making it more difficult for small businesses as well as families to survive in these difficult times.

Boehner says that these proposals are nothing more than photo opportunities for the president. He claims that the only common sense solutions have come from the Republican Party. The working family tax credits will not be helpful.

Working Family Tax Cuts Announced

Steve Patterson is an author for the site 2010 Tax.

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