The highlights of the tax cuts for individuals provided in the tax bill approved by the Senate Finance Committee last week:
Tax reductions for all income brackets by increasing the $750 personal exemption now granted to all taxpayers and their dependents to $1,000 and by adjusting the tax brackets to compensate for inflation. The present $180 general credit would be replaced.
An increased in the standard deduction, or zero bracket amount, for all taxpayers to $2,300 for single persons and $3,400 for couples, up from $2,20 to $3,200 under present law. The deduction for single heads of household would rise to $3,000.
A somewhat scaled-back tax break for homesellers, compared with the House bill. The House provided that homesellers could keep $100,000 of their profits tax free. The committee bill would merely increase the present $35,000 exclusion for elderly home sellers to $50,000 and make it available to all taxpayers.
An increase in the present 15 percent tax credit for the elderly, by raising the maximum amount of income used in figuring the credit to $3,000 for single persons and $4,500 for couples, up from $2,500 and $3,750. At the same time, the level at which the credit it phased out would rise to $15,000 for single persons and $17,500 for couples rather than $7,500 and $10,000, as under the present law.
Repeal of the present deduction for state and local gasoline taxes - part of President Carter's effort to help conserve energy and simplify the tax code. A similar provision is in the House version.
Doubling the tax credit for political contributions, the $50 for single persons and $100 for couples.
An extra personal exemption for the totally disabled, provided they receive no other federal benefits. The exemption would amount to $500 in 1979, and rise gradually to $1,000 by 1983.
A sharp increase in the earned income credit for the working poor, under which low-income families now are allowed to reduce their taxes by 10 percent of their first $4,000 in earnings, up to a maximum of $400.
Under the committee's proposal, the credit would be raised to $600, using a complex formula allowing a 12 percent break for those earning $5,000 or less. At the same time, the bill would extend some breaks to families earning as much as $11,000, rather than the present $8,000.
The new provision contains still another twist: Beginning next July, the government would send cash payments through the withholding tax system to persons who do not earn enough to benefit from a tax credit. The checks are now available only at the end of the year.