President Releases FY 2010 Budget Recommendations

The White House released its proposed Fiscal Year 2010 budget this morning. Take a look at the budget on the Office of Management and Budget website. (View the summary tables PDF here.)

The Office of Management and Budget estimates that FY 2009 (the current fiscal year) will involve $2.19 trillion in revenues and $3.94 trillion in outlays, with a $1.75 trillion deficit. That equates to 12.3% of GDP.

Some other notes:

• “Climate Revenues” (cap and trade) of about $80 billion per year beginning FY 2012
• $250 billion placeholder in FY 2009 for “additional financial stabilization efforts”
• Making Work Pay Credit made permanent at about $64 billion per year
• Expand EITC at about $4 billion per year
• Expand refundability of Child Tax Credit
• Provide American Opportunity Tax Credit
• Reinstate Superfund taxes
• Repeal of some tax benefits to oil companies
• Reinstate 36% and 39.6% brackets for singles over $200k and married over $250k starting FY 2011
• 20% cap gains and dividends rate
• Maintain estate tax at 2009 level
• Index AMT for inflation from 2009 level
• “National Infrastructure Bank”—$5 billion per year beginning FY 2010
• “Seigniorage”—the profit from the production of coins—is expected to be negative $1 billion a year
• Puts a limit on itemized deductions—taxpayers in top brackets are treated as if they are in the 28% bracket for purposes of the deductions