Tax BreakU.S. Congressman Chris Van Hollen from Maryland wants tax credits for the middle class. The politician proposed new legislation on Monday that would provide tax cuts to middle class Americans. The legislation would use a tax on financial transactions that targets America's top 1 percent to offset annual "paycheck bonuses" to middle income Americans.

The congressman said that his tax plan would encourage companies to increase the amount they pay workers. Further, it would reduce the tax deductions that companies can take on executive bonuses exceeding $1 million -- unless companies can prove they are compensating other low-level workers with raises and pay reflecting cost-of-living. The new plan also offers tax benefits to corporations that provide child daycare services and employee training programs.

According to the congressman, our nation's tax codes are geared toward benefiting Americans who make money from investments as opposed to Americans who make money from the sweat of their labors.

Income Inequality a Hot-Topic Issue

Income inequality has become a major talking point for a lot of politicians in recent years, but some commentators do not believe the congressman's middle class tax plan will be approved by congress. The House and Senate are currently dominated by Republicans, who are likely to view the plan unfavorably.

The plan would reduce tax incentives to the rich, while levying a 0.1 percent fee on stock trades -- primarily high-volume trades. The congressman believes this "high-roller fee" would increase government tax coffers by tens of billions of dollars every year. It would also help discourage the type of financial speculation that does not help our economy, the congressman says.

In addition to the above tax benefits, the proposal includes a $1,000 bonus to those who earn under $100,000 annually and $2,000 to married couples who earn less than $200,000 annually.

Getting Help with Your Taxes

Even though this proposed legislation is still in its early stages, there are still a lot of tax breaks, incentives and tax credits available to middle class Americans. In order to take advantage of available tax benefits, individuals may wish to consult with a qualified tax attorney. A tax attorney will know what questions to ask and what to look for in order to ensure that an individual is paying the least amount of taxes possible.