Mitt Romney’s plan to overhaul the tax code would produce cuts for the richest 5 percent of Americans — and bigger bills for everybody else, according to an independent analysis set for release Wednesday.
The study was conducted by researchers at the Brookings Institution and the nonpartisan Tax Policy Center, who usually bend over backward to be fair to the Republican presidential candidate.
To cover the cost of Romney's plan — which would reduce tax rates by 20 percent, repeal the estate tax and eliminate taxes on investment income for middle-class taxpayers — the researchers assume that Romney would go after breaks for the richest taxpayers first.
They even look at what would happen if Republicans’ dreams for tax reform came true and the proposal generated significant revenue through economic growth.
None of it helped Romney. His rate-cutting plan for individuals would reduce tax collections by about $360 billion in 2015, the study says. To avoid increasing deficits — as Romney has pledged — the plan would have to generate an equivalent amount of revenue by slashing tax breaks for mortgage interest, employer-provided health care, education, medical expenses, state and local taxes, and child care — all breaks that benefit the middle class.
What would that mean for the average tax bill? Millionaires would get an $87,000 tax cut, the study says. But for 95 percent of the population, taxes would go up by about 1.2 percent, an average of $500 a year.
In other words, he basically wants to do as President of the United States the same as he did while President and CEO of Bain- screw the poor and the middle class out of their retirement and financial security while increasing his already obscene riches. You can read the Brookings study here.