Kennedy to offer revised tax plan
President Reagan's "flawed" tax cut plan should be scrapped and replaced with one designed to provide more benefits to middle-and low-income families and to small businesses, Sen. Edward Kennedy, (D) of Massachusetts announced. He said he would introduce a resolution in Congress this next week to designate that at least 15 percent of the business tax cuts go to small businesses.
In a speech prepared for delivery to the Massachusetts Municipal Association and released by his Washington office, Kennedy said the Reagan tax plan is weighted in favor of the wealthy. Mr. Kennedy proposed raising the current $1, 000 personal exemption to $1,500 and increasing the standard deduction in order to reduce taxes for middle-income taxpayers and to eliminate them for families at the poverty level. Tax rates should be cut by a uniform amo unt, such as 2 percent in each tax bracket, he said.