U.S. House Republicans unveiled their budget plan Tuesday, underscoring tax reforms and overhaul in Medicare system, in a bid to draw a clear election-year distinction with the budget released by the President Barack Obama last month.

House Budget Committee Chairman Paul Ryan outlined the blueprint Tuesday at a news conference, saying the House budget builds on important work they did last year and contains new and improvement strides.

The Republican budget plan proposes to bring U.S. deficits below 3 percent of its GDP by 2015 and reduce deficits by over 3 trillion U.S. dollars over the next 10 years.

The GOP budget's Medicare reforms makes no changes for current retirees and those near retirement. However, for those who will retire a decade from now -- workers who are currently under 55, the program would switch from a traditional "fee for service" framework in which the government pays doctor and hospital bills to a "premium support" approach in which the federal government provides allowance for purchases of health insurance.

As for the tax code reforms, the Republicans rejected the President's call to raise taxes. They proposed to consolidate the current six individual income tax brackets into just two brackets of 10 percent and 25 percent.

"The House budget once again fails the test of balance, fairness, and shared responsibility," White House Communications Director Dan Pfeiffer said in a statement, arguing that the GOP's budget would shower the wealthiest with tax cuts while preserving tax breaks for oil companies and hedge fund managers.

"What's worse is that all of these tax breaks would be paid for by undermining Medicare and the very things we need to grow our economy and the middle class -- things like education, basic research, and new sources of energy," Pfeiffer said.

He charged that the House budget would turn the guarantee of retirement security into a "voucher" that will shift higher costs to seniors over time.

In the fiscal year 2013 budget plan, Obama made it clear that he would not support efforts to turn Medicare into a voucher, which would weaken the program and break the promise the government made to American seniors.

U.S. House Speaker John Boehner issued a statement Tuesday, while applauding the House budget, Boehner said the House Republicans again proposed "responsible solutions" to tackle the fiscal problem.

 VietNamNet/Xinhuanet