Romney Promises All Americans A 20 Percent Tax Cut
In Arizona, Romney unveils his plan to cut tax rates by 20 percent across the board.
CHANDLER, Arizona—Locked in a fierce battle with Rick Santorum in the Arizona and Michigan primaries, Mitt Romney unveiled his tax plan by promising all Americans a tax cut.
"I'm going to lower rates across the board for all Americans by 20 percent," Romney declared.
Romney's plan would lower all personal income tax rates, with the highest being reduced from 35 percent to 28 percent — the top rate signed into law by President Ronald Reagan. He would also cut the corporate tax rate to 25 percent (below the 28 percent that the Obama administration is hoping to achieve).
Romney would partly pay for his tax proposals by cutting government spending to 20 percent of GDP by 2016 — savings he said will be partly achieved by repealing President Barack Obama's health care reform law. He will also cap deductions on the nation's highest earners.
"The result will be a pro-growth tax code that still raises the necessary revenue, retains the existing progressivity, and ensures that middle-income Americans see real tax relief," the Romney campaign said in a press release.