create a wage credit of up to $765 per worker or $1,530 per working couple while giving an equivalent tax credit to employers. It would provide $52 billion in fiscal relief to states, accelerate reductions in the so-called marriage penalty, increase the child tax credit to $1,000 by 2006, allow businesses to write off $100,000 in investment for one year, create a 50 percent tax credit for small business health care expenses, create wage credits for employers in Renewal Communities, create a 50 percent tax credit for companies with employees in the National Guard and Reserves and extend unemployment benefits by 13 weeks. It would be offset by restrictions on corporate use of off- shore tax shelters and an increase in customs user fees. [Vote 162, 5/15/03; Advocate, 5/16/03] XXXX Voted Against Reducing Tax Cut on Top Tax Bracket in Order to Increase Tuition Tax Deduction. XXXX voted against an amendment to the 2003 Bush tax cut package that would have increased the amount families could deduct on their taxes for college tuition and would have made that deduction permanent. The $4,000 tax deductibility was to expire in 2006, but this amendment would have raised the amount to $8,000 in 2004, with the deduction eventually reaching $12,000. It also would have made the deduction permanent. The amendment would have reduced the reduced the top income rate by only 1 percent, as opposed to 3 percent proposed by President Bush. [Vote 164, 5/15/03; Congressional Record, 5/15/03] XXXX Voted Against A Democratic Substitute to Bush Tax Bill. XXXX voted against Sen. Daschle’s substitute amendment to the 2003 Bush tax cuts that would have created a wage credit equal to 10 percent for the first $3,000 of income for single filers and $6,000 for married couples. It would have provided $40 billion in fiscal relief to states, eliminated the so-called marriage penalty, increased the child tax credit to $700 in 2003 and $800 in 2004, allowed businesses for one year to write off $75,000 in investment, created a 50 percent tax credit for small business health care expenses and extended unemployment benefits by 26 weeks. It would have been offset by restrictions on the corporate use of off-shore tax shelters and an increase in customs user fees. [Vote 167, 5/15/03] XXXX Voted Against Cutting Tax Cuts for the Wealthy In Order to Expand Families Covered By Lowest Tax Rate. XXXX voted against a substitute to the 2003 Bush tax bill which would have frozen the highest tax rates and tripled the amount of income that was subject to the lowest tax rate. The amendment would retain the original bill’s changes to the child tax credit, marriage penalty and alternative minimum tax. The changes would be offset by eliminating the bill’s dividend tax cuts. [Vote 168, 5/15/03] XXXX Voted to Sunset In the Bush Tax Cut in 2015. On May 15, 2003, XXXX voted for an amendment that would sunset the tax increases in the 2003 Bush tax bill in 2015. [Vote 170, 5/15/03] XXXX Voted To Cut Dividend Taxes In Half For 2003 and Reinstate Them in 2007. XXXX voted for an amendment to the 2003 Bush tax cuts that would exempt 50 percent of dividend payments from taxation in 2003, increasing to 100 percent from 2004 through 2006. Dividend tax rates would return to their present levels in 2007. It would allow businesses investing $400,000 or less annually to write off up to $100,000 of those expenses from 2003 through 2007. The changes would be offset by reductions in tax breaks to married couples contained in the underlying bill. The vote was 50-50, with Vice President Cheney breaking the tie. [Vote 171, 5/15/03; AP, 5/15/03] XXXX Voted Against Stopping Tax Increases On Overseas Workers Making Between $50,000 And $75,000 Per Year. XXXX voted against an amendment to the 2003 Bush tax bill that would eliminate from the bill tax increases on overseas workers making between $50,000 and $75,000 per year. The law at the time of the amendment had Americans working overseas not paying taxes on their first $80,000 of foreign income and able to get a tax break on housing costs. The changes would be offset by reducing the bill’s total exemption of dividend income to a 65 percent exemption from 2004 through 2006. [Vote 172, 5/15/03; CQ Daily Monitor, 5/15/03] XXXX Voted Against Cutting Bush Tax Cuts in Order To Fund Prescription Drug Benefit. XXXX voted against an amendment to the 2003 Bush tax bill that would “scale back the dividend tax cut and not accelerate other income tax reductions and use the money for a Medicare prescription drug benefit. Proponents said the prescription drug benefit should be a higher priority than tax cuts. Opponents argued that the cuts would help the economy and ultimately lead to more revenue.” The Democratic motion failed 48-52. [Vote 173, 5/15/03; States News Service, 5/16/03] 262