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My guess is that charities will be hurt. But it won't be much in 2018 or 2019 because it will take a year or two to sink in - people don't really know about these things until their accountant tells them (if they are told at all).
My deductions got squashed so this year I owed more than 5k more than last year, with a whopping $55 a month decrease in my ‘taxable’ amount per month.
The tax laws screwed the middle class. I’ll not vote for one damned Republican again. In fact both my wife and I are switching our party affiliations to Democrats and voting as independents.
"Though many organizations are still unaware of the tax, more than 600 churches and other groups have already signed a petition demanding it be repealed."
Secondly, we can't do the math for every household and individual. But I am certain even you can come up with various scenarios where charitable deductions are "full cost" to the individuals...whereas before they were not.
Heck, my own return is that way and I'm a fairly well off individual. So you are claiming that what my return says does not exist anywhere else!!
"the number of filers who will deduct charitable contributions this year will fall from 36 million to 15 million, the Tax Policy Center predicts. “Except for those with the highest incomes, the charitable deduction will be largely irrelevant,” says Howard Gleckman, senior fellow at the center."
You claim is therefore that those 21 million filers who are not itemizing will be goosed somehow by an "invisible hand" to give the same amount they gave before? That's fantastic.......
You seem to discount the basic fact that Perception is Reality. When people cannot deduct things they are less likely to do them. This goes for everything from "business meals and travel" to second houses to charitable giving.
In short - the fact of the matter is that there is less reason for people to engage in certain economic activities such as buying vacation properties, giving to charity, etc.
He does not get it for whatever reason.
Incentives work. Period. Remove the incentives, and less people will give to charities, because they will get the same deduction whether they give or not.
Secondly, we can't do the math for every household and individual. But I am certain even you can come up with various scenarios where charitable deductions are "full cost" to the individuals...whereas before they were not.
Heck, my own return is that way and I'm a fairly well off individual. So you are claiming that what my return says does not exist anywhere else!!
"the number of filers who will deduct charitable contributions this year will fall from 36 million to 15 million, the Tax Policy Center predicts. “Except for those with the highest incomes, the charitable deduction will be largely irrelevant,” says Howard Gleckman, senior fellow at the center."
And I think that is pure hogwash. The vast majority give to charity because they want to give, not to get a tax deduction. Ok, let's say you donate $10K and under the old system you would have a deduction that might reduce tax owed by $2500 if in the 25% bracket. You're still $7500 out of pocket more than if you had not given at all so clearly one is not giving to charity because of the tax deduction or because it is in their best economic interests.
Incentives work. Period. Remove the incentives, and less people will give to charities, because they will get the same deduction whether they give or not.
Are you suggesting that the tens of millions of people who previously filed using the standard deduction were not giving to charity?
My deductions got squashed so this year I owed more than 5k more than last year, with a whopping $55 a month decrease in my ‘taxable’ amount per month.
The tax laws screwed the middle class. I’ll not vote for one damned Republican again. In fact both my wife and I are switching our party affiliations to Democrats and voting as independents.
Screw them.
The tax tables were raised to include more income which helps lower income unless of course you live in one of those states that likes to tax the bejesus out of the people and expecting those taxes could be written off agist federal tax returns.
Incentives work. Period. Remove the incentives, and less people will give to charities, because they will get the same deduction whether they give or not.
That is insulting - we give a LOT to Charity every year and never get to deduct any of it.
We only have the standard deductions and there is next to no Medical, we don't live in a State Income Tax State (and never will) and write a check every year to the IRS on top of the many thousands paid in through paycheck deductions.
We finally got our taxes done this week - we always do it ourselves of course.
We sent a little larger check this year than last year - BUT when comparing to Taxable Income form 2017 - we had about $30,000 more in income. We ended up with about a $2,000 decrease on the 2018 Tax tables, compared to what we would have paid using the 2017 Tax Tables.
It's amazing that people judge their Taxes by a "refund" check. If you get a refund at all, it means the Federal Government was keeping more of your money than they should all year.
UNLESS -- you happen to be among the 40+% that don't pay Federal Income Taxes at all and your "refund" comes from people like me that pay my share AND your share.
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