Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Sarcasm aside, it's absolutely outrageous. But this is nothing new. When middle class voters cast that ballot for Trump they cast a ballot for a tax increase for them and a pay raise for the wealthy. So glad we get to finance second, third, fourth homes, yachts, and jets for the zillionaires.
Can't fix stupid I guess.
Not to mention, the brand, shiny new $700 billion military budget and gifts to big pharma.
The transfer of wealth and power to the top 0.01% is relentless. And a significant portion of the population of limited means cheer on the advent of a the new modern day aristocracy ruling America. Boggles the mind.
I am supposed to believe a person making $50k a year has itemized deductions greater than 12K as an individual or more than 24k as a couple filing jointly? SERIOUSLY?
YES -- the killer is the bottom 10% bracket is RAISED to 12% _and_ the 15% bracket is eliminated, so the next jump after 12% is all the way up to 25%.
Current system: $50k couple using std ded = 50 - 12 std - 8 personal = $30k taxable income. First $18k is taxed at 10%, the remaining $12k at 15%. Total tax is $3600.
Trump Plan: $50k couple using std ded = 50 - 24 = $26k taxable income. The first $18k is now taxed at 12% instead of 10%. The remaining $8k is now taxed at 25% instead of at 15%. Total tax is $4100.
Currently the Trump tax plan would cause a $500 tax increase for a $50k married couple with standard deductions.
YES -- the killer is the bottom 10% bracket is RAISED to 12% _and_ the 15% bracket is eliminated, so the next jump after 12% is all the way up to 25%.
Current system: $50k couple using std ded = 50 - 12 std - 8 personal = $30k taxable income. First $18k is taxed at 10%, the remaining $12k at 15%. Total tax is $3600.
Trump Plan: $50k couple using std ded = 50 - 24 = $26k taxable income. The first $18k is now taxed at 12% instead of 10%. The remaining $8k is now taxed at 25% instead of at 15%. Total tax is $4100.
Currently the Trump tax plan would cause a $500 tax increase for a $50k married couple with standard deductions.
I am supposed to believe a person making $50k a year has itemized deductions greater than 12K as an individual or more than 24k as a couple filing jointly?
SERIOUSLY?
You forgot the $4,050 personal exemption which is another $8,100 for couples. This goes away with the new tax plan.
Also, blind people as well as people aged 65+ get an additional $1250/person added to their standard deduction today. This goes away with the new tax plan.
Today, a retired couple gets $23,200 in exemptions ( $10,600 (8100 personal exemption + 1250x2) + $12,600 standard deduction) if they don't itemize. The new $24,000 standard deduction isn't necessarily a tax cut for them because new tiers could put them into a higher tax bracket and cause them to get a tax increase.
They already get $23,200 in exemptions/deductions today without having to itemize. If they are in the lower tax bracket of 10% today, they'd be placed in the new 12% bracket. This likely would increase their tax bill.
I suppose I should thank Trump voters, and those who vote Republican in general, for making this very liberal poster's unearned income taxable at a lower rate.
My advice: Stop being poor. Wage income is for losers. You want dividends and capital gains.
I am supposed to believe a person making $50k a year has itemized deductions greater than 12K as an individual or more than 24k as a couple filing jointly?
SERIOUSLY?
For your single renter making $50k, this is how I see it... First, remember that currently the standard deduction is about $6k and personal exemption is $4k, so already they are deducting $10k. The extra $2k that can now be deducted in this proposal is nice but remember they raised the bottom tax rate from 10% to 12%, so depending on what the income cutoff is for this bracket that will eat into that. For this person who doesn't itemize they will probably come out about the same so this middle class person isn't really going to see much benefit. If that person lives in a high tax state or student loans or medical bills, then they will lose some = how much depends on those other things.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
