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American Morning
Minding Your Business: Child Tax Breaks for All? Think Again
Aired May 29, 2003 - 07:49 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Let's watch everybody's business right now. The president's tax cut plan, a report today indicating that poor families are now out in the cold now.
Andy Serwer is looking at the facts and the reality check on this.
Good morning.
ANDY SERWER, "FORTUNE" MAGAZINE: Good morning. I wonder if those dogs can sniff out financial shell games in Washington.
HEMMER: Yes.
SERWER: Because some people accusing the president's tax plan of just that. Some instant analysis, of course the president just signed the bill yesterday. Already critics poking and prodding, though, you guys. A group called the Center on Budget and Policy Priorities pointing out that the president's plan will leave a lot of lower- income families out in the cold when it comes to that critical child tax credit.
Let's take a look here. The child tax credit, according to this analysis, will not go to families that make between$10,500 and 26,000. That's 11.9 million children. One out of six kids under 17 falls into this group. Now, the Center on Budge and Policy Priorities, "The New York Times" did call this a liberal think tank. So, let's keep that in mind.
However, House Republicans are not denying that this, in fact, did take place, a last-minute change. However, they are blaming the Senate Republicans saying -- the Senate, excuse me -- because they're saying the Senate capped out the tax cut at $350 billion, did not allow this particular part to go in and they were inflexible. So back and forth we go.
HEMMER: If this is true, then how come we did not hear about these arguments while they were voting and debating this?
SERWER: Things happen at the 11th hour in Washington, D.C., Bill. That's the only explanation I can come up with, and it happened very quickly.
HEIDI COLLINS, CNN ANCHOR: Any way to fix it at this point?
SERWER: Well, probably not. I mean, not right now. Of course, things can always be fixed later on into the summer. So, we're going to see. We'll see how the president responds to these charges, though, today.
HEMMER: And within that income bracket, though, the tax rate is reduced or not?
SERWER: Yes, it is. So the tax rate is reduced.
HEMMER: So, you're getting a cut there...
(CROSSTALK)
SERWER: But you're not getting the child tax credit, that's correct.
HEMMER: Thank you, Andy.
COLLINS: All right, Andy Serwer minding our business this morning. Thanks so much, Andy.
SERWER: OK.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.
Again>
Aired May 29, 2003 - 07:49 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Let's watch everybody's business right now. The president's tax cut plan, a report today indicating that poor families are now out in the cold now.
Andy Serwer is looking at the facts and the reality check on this.
Good morning.
ANDY SERWER, "FORTUNE" MAGAZINE: Good morning. I wonder if those dogs can sniff out financial shell games in Washington.
HEMMER: Yes.
SERWER: Because some people accusing the president's tax plan of just that. Some instant analysis, of course the president just signed the bill yesterday. Already critics poking and prodding, though, you guys. A group called the Center on Budget and Policy Priorities pointing out that the president's plan will leave a lot of lower- income families out in the cold when it comes to that critical child tax credit.
Let's take a look here. The child tax credit, according to this analysis, will not go to families that make between$10,500 and 26,000. That's 11.9 million children. One out of six kids under 17 falls into this group. Now, the Center on Budge and Policy Priorities, "The New York Times" did call this a liberal think tank. So, let's keep that in mind.
However, House Republicans are not denying that this, in fact, did take place, a last-minute change. However, they are blaming the Senate Republicans saying -- the Senate, excuse me -- because they're saying the Senate capped out the tax cut at $350 billion, did not allow this particular part to go in and they were inflexible. So back and forth we go.
HEMMER: If this is true, then how come we did not hear about these arguments while they were voting and debating this?
SERWER: Things happen at the 11th hour in Washington, D.C., Bill. That's the only explanation I can come up with, and it happened very quickly.
HEIDI COLLINS, CNN ANCHOR: Any way to fix it at this point?
SERWER: Well, probably not. I mean, not right now. Of course, things can always be fixed later on into the summer. So, we're going to see. We'll see how the president responds to these charges, though, today.
HEMMER: And within that income bracket, though, the tax rate is reduced or not?
SERWER: Yes, it is. So the tax rate is reduced.
HEMMER: So, you're getting a cut there...
(CROSSTALK)
SERWER: But you're not getting the child tax credit, that's correct.
HEMMER: Thank you, Andy.
COLLINS: All right, Andy Serwer minding our business this morning. Thanks so much, Andy.
SERWER: OK.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.
Again>
