(From Thomas L. Hungerford, Tax Preferences: Trends and Critiques, RL33641, CRS)
Below we saw how the GOP has spent and spent, leaving the Democrats with the unenviable job of saving the American economy from their reckless ways. A new Congressional Research Service report shows that in tax preferences, the GOP Congress has returned to the profligacy of the period of the pre-Bradley 1980s.
The tax preferences overwhelmingly benefit upper income taxpayers. It doesn't help to be able to write off the tax deductibility of Social Security if you don't have any other income, for example, whereas if you are in the upper income strata, Uncle Sam gives you about 35 cents on the dollar just for being rich.
Nice work if you can get it.
Here's the detailed breakdown. In dollar amounts, it may still be true that the (upper) middle class gets the majority of the benefits. But as the CRS report shows, middle class families are being given pennies versus huge preferences to the wealthy. It would probably be cheaper to just give everyone a rebate.