The estimated impact of the Senate’s proposed tax modernization plan and recommendations for improvement

By Elaine Mejia
Director Budget & Tax Center
June 8, 2009

Key Findings: The Senate Finance Committee’s proposed tax modernization plan
would require an additional 0.3% of income ($32 average annually) from the lowestincome
earners, 0.1% of income ($32 average annually) from middle-income
taxpayers and 0.1% of income ($958 average annually) from the highest 1% of
income-earners. The plan would improve stability and long-term revenue adequacy, but
additional measures should be taken to improve fairness.