COMPARISON OF FEDERAL TAX LIABILITIES UNDER PRESENT LA

AND UNDER THE CHAIRMAN’S MODIFIED AMENDMENT

IN THE NATURE OF A SUBSTITUTE RELATING TO

THE “MARRIAGE TAX PENALTY RELIEF ACT OF 2000”

FOR HYPOTHETICAL MARRIED COUPLES

Prepared by the Staff

of the

JOINT COMMITTEE ON TAXATION

February 2, 2000

JCX-8-00
Annual 

Income

(Wages Only)

$20,000 ............................................... -$2,518 -$2,939 -$421 * 30,000 ................................................. 215 -423 -638 50,000 ................................................. 3,628 3,410 -218 75,000 ................................................. 8,795 8,389 -406 100,000 ............................................... 15,795 15,389 -406 200,000 ............................................... 47,807 47,285 -522 

Joint Committee on Taxation -------------------------------------- NOTE: This table shows the effect of the "Marriage Tax Penalty Relief Act of 2000" in 2001. The elements of the proposal that are in 

(1) the doubling of the standard deduction for married couples filing a joint return to twice that for single filers; and (2) the increase of beginning point of the phaseout of the earned income credit ("EIC") for married couples filing a joint return. Each child is assumed to the child credit, subject to income limitations. All income is assumed to be wage income, and taxpayers are assumed to take the stanFor taxpayers that itemize their deductions, the reduction in taxes would be lower than shown here. 

* Denotes increase in refundable portion of the EIC.

THE "MARRIAGE TAX PENALTY RELIEF ACT OF 2000" 

FOR HYPOTHETICAL MARRIED COUPLES WITH TWO CHILDREN 

Present Law Taxes 

COMPARISON OF FEDERAL TAX LIABILITIES UNDER PRESENT LAW AND 

UNDER THE CHAIRMAN’S MODIFIED AMENDMENT IN THE NATURE OF A SUBSTITUTE RELATING 

Calendar Year 2001 

Income Taxes

Under

Income Taxes Under

Marriage Tax Penalty

Change in 

Income

Relief Act of 2000

Page 1 of 4
Annual 

Income

(Wages Only)

$20,000 ............................................... $998 $780 -$218 30,000 ................................................. 2,498 2,280 -218 50,000 ................................................. 5,498 5,280 -218 75,000 ................................................. 11,419 11,013 -406 100,000 ............................................... 18,419 18,013 -406 200,000 ............................................... 49,853 49,331 -522 

Joint Committee on Taxation -------------------------------------- NOTE: This table shows the effect of the "Marriage Tax Penalty Relief Act of 2000" in 2001. The elements of the proposal that are in 

(1) the doubling of the standard deduction for married couples filing a joint return to twice that of single filers; and (2) the increase of $beginning point of the phaseout of the earned income credit ("EIC") for married couples filing a joint return. All income is assumed to and taxpayers are assumed to take the standard deduction. For taxpayers that itemize their deductions, the reduction in taxes would shown here. 

FOR HYPOTHETICAL MARRIED COUPLES WITH NO CHILDREN 

Present Law Relief Act of 2000 Taxes 

Under Marriage Tax Penalty Income 

COMPARISON OF FEDERAL TAX LIABILITIES UNDER PRESENT LAW AND 

UNDER THE CHAIRMAN’S MODIFIED AMENDMENT IN THE NATURE OF A SUBSTITUTE RELATING 

THE "MARRIAGE TAX PENALTY RELIEF ACT OF 2000" 

Calendar Year 2001 

Income Taxes Income Taxes Under Change in 

Page 2 of 4
Annual 

Income

(Wages Only)

$20,000 ............................................... -$3,206 -$3,669 -$463 * 30,000 ................................................. -765 -1,483 -718 * 50,000 ................................................. 3,335 3,080 -255 75,000 ................................................. 7,651 6,830 -821 100,000 ............................................... 14,651 13,544 -1,107 200,000 ............................................... 45,424 44,266 -1,158 

Joint Committee on Taxation -------------------------------------- NOTE: This table shows the effect of the "Marriage Tax Penalty Relief Act of 2000" in 2005. The elements of the proposal that are in 

(1) the doubling of the standard deduction for married couples filing a joint return to twice that for single filers; (2) the partial phasein othe size of the 15-percent regular income tax bracket for a married couple filing a joint return to twice the size of the corresponding ratunmarried individual; and (3) the increase of $2,000 in the beginning point of the phaseout of the earned income credit ("EIC") for mafiling a joint return. Each child is assumed to be eligible for the child credit, subject to income limitations. All income is assumed to be and taxpayers are assumed to take the standard deduction. For taxpayers that itemize their deductions, the reduction in taxes would shown here. 

* Denotes increase in refundable portion of the EIC.

FOR HYPOTHETICAL MARRIED COUPLES WITH TWO CHILDREN 

Present Law Taxes 

Relief Act of 2000

Under Marriage Tax Penalty Income 

Calendar Year 2005 

Income Taxes Income Taxes Under Change in 

COMPARISON OF FEDERAL TAX LIABILITIES UNDER PRESENT LAW AND 

UNDER THE CHAIRMAN’S MODIFIED AMENDMENT IN THE NATURE OF A SUBSTITUTE RELATING 

THE "MARRIAGE TAX PENALTY RELIEF ACT OF 2000" 

Page 3 of 4
Annual 

Income

(Wages Only)

$20,000 ............................................... $795 $540 -$255 30,000 ................................................. 2,295 2,040 -255 50,000 ................................................. 5,295 5,040 -255 75,000 ................................................. 10,443 9,336 -1,107 100,000 ............................................... 17,443 16,336 -1,107 200,000 ............................................... 47,545 46,303 -1,242 

Joint Committee on Taxation -------------------------------------- NOTE: This table shows the effect of the "Marriage Tax Penalty Relief Act of 2000" in 2005. The elements of the proposal that are in 

(1) the doubling of the standard deduction for married couples filing a joint return to twice that for single filers; (2) the partial phasein othe size of the 15-percent regular income tax bracket for a married couple filing a joint return to twice the size of the corresponding ratunmarried individual; and (3) the increase of $2,000 in the beginning point of the phaseout of the earned income credit ("EIC") for mafiling a joint return. All income is assumed to be wage income, and taxpayers are assumed to take the standard deduction. For taxpatheir deductions, the reduction in taxes would be lower than shown here. 

Present Law Taxes 

Relief Act of 2000

FOR HYPOTHETICAL MARRIED COUPLES WITH NO CHILDREN 

Under Marriage Tax Penalty Income 

Calendar Year 2005 

Income Taxes Income Taxes Under Change in 

COMPARISON OF FEDERAL TAX LIABILITIES UNDER PRESENT LAW AND 

UNDER THE CHAIRMAN’S MODIFIED AMENDMENT IN THE NATURE OF A SUBSTITUTE RELATING 

THE "MARRIAGE TAX PENALTY RELIEF ACT OF 2000" 

Page 4 of 4