Further Tax Cuts Unlikely Says President Bush

by Mike Godfrey, Tax-News.com, Washington

15 August 2003

Speaking from his ranch in Crawford, Texas this week, President Bush said he sees no need for any further tax cuts in the short term, as the economy begins to display tentative signs of a more sustained recovery.

"We're upbeat about the chances for our fellow citizens who are looking for work to be able to find a job," Mr Bush explained following a meeting with his economic advisors. He continued: "We feel like the tax relief plans that we have passed will be robust enough to create the conditions necessary for economic growth, and therefore people will find jobs," adding that he and his economic team are "discussing a lot of things."

However, the prospect of more tax cuts has not been completely ruled out by the President, who told reporters last week that "there is still more we can do" in terms of stimulating the economy. There is also fresh legislation pending that will give $14 billion in tax breaks to oil, gas and alternative energy producers, and Congress is currently debating a new set of tax breaks for manufacturers to replace the Extraterritorial Income Exclusion Act ruled illegal by the WTO (World Trade Organisation).

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