The tax burden on middle- and higher-income families would rise if the package of tax breaks is allowed to expire at year-end, according to an analytical breakdown by Deloitte Tax.
The analysis by the Big Four firm compares two families of four -- one that earns the median income figure of $63,000, while the other sample family earns $150,000. According to the experts at Deloitte, the family at the $150,000 level would absorb a tax increase of some $1,800, while the family at the $63,000 level would see a tax increase of $700.
The rise in the higher-income family was attributed to the marriage penalty and the liability of the alternative minimum tax. The lower earners' tax hike was predicated on a reduced child credit.
However, the Deloitte analysis stated that the percentage increase in the higher-income family's tax burden is 8.5 percent, while the increase in the lower-income family's tax is roughly 27 percent.
According to Tax Analysts, a bill to extend the relief measures -- which includes tax relief for married couples, an increased child tax credit, the expanded 10 percent income tax bracket, and continued relief from the alternative minimum tax -- is scheduled for committee this week.
