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Bush Signs Tax Cuts into Law - 2003-05-28

U.S. President George W. Bush has signed a series of tax cuts that he says will create more jobs and help revive a struggling American economy. Congressional Democrats say the cuts will lead to higher deficits.

It's not everything the president wanted, but the more than $300 billion tax cut does include his requests for more money for parents and a cut in the tax on corporate dividends.

It is less than half the size of the plan he wanted, but after previously deriding this smaller package as "little bitty" tax cuts, Mr. Bush Wednesday called it "bold legislation."

"By ensuring that Americans have more to spend, to save, and to invest, this legislation is adding fuel to an economic recovery," he said.

Lower taxes will be felt within weeks as many workers will see smaller payroll deductions and parents will receive checks for higher tax credits for children by July.

The White House hopes the timing of the cuts will stimulate the economy and ease voters' financial concerns by summer's end when campaigning for next year's presidential election heats up.

Nine Democratic challengers hope to unseat Mr. Bush by focusing on a sluggish economy.