On the recordJuly 25, 1997
The typical American family does not pay more in Federal income tax than they spend on food, shelter, and clothing. But when we add up the FICA, the Medicare tax, when we add up the property taxes, if they own their own home, their sales taxes and all the other taxes the families pay out, the typical American family is spending more money on taxes than anything else, and it is greater than food, clothing, and shelter combined. This family is going to get the $500 per child tax credit. But because their oldest son is getting close to college age, they can also get a $1,500 a year eligibility for an IRA scholarship deduction which, if we do the math and translate it all out, this family will be saving in excess of $1,500 a year on their income taxes.
Source
govinfo.gov
