Does anyone really believe the 12% bracket will reach up to $150K?
Because if it does not there are millions who now itemize who already KNOW they are screwed.
The math is not that complicated and nuanced is simple if you do your own taxes.
If you’re over $100k and under $250k and itemize you will send more money to DC under this plan.
As certain as the day is long.
If you itemize, own a home, and live in a high tax state, you are going to be paying more in this bill because they already told us they are eliminating or limiting certain deductions.
The changes they want to pass into law will also have a devastating effect on the housing industry and real estate prices in many states (CA, NJ, NY, CT, etc.) That is why many mortgage and home building groups are opposing the bill.
Since a home is many families biggest asset, and a healthy real estate market insures economic growth, the bill will be poison pill to many.
Actually the WSJ has published an infographic that spells this out:
Individuals:
39.6% - +$500K
35.0% - $200K to $500K
25.0% - $45K to $200K
12.0% - Up to $45K
Married Filing Jointly:
39.6% - +$1M
35.0% - $260K to $1M
25.0% - $90K to $260K
12.0% - Up to $90K
The SALT deductions go away and the property tax deduction are capped at $10K with the mortgage interest deduction being capped on loans up to $500K.
It’s THE most important factor in assessing the plan.
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Still no detail on the width of the brackets. WTF?
Agreed. I don’t see how people can say they are going to pay more, when they have no idea what bracket they will be in.
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It’s GOVT! Of course, we’ll all pay more.
When the mantra of ‘having to pay for tax-cuts’ entered the fray, from the (R)NC, the jig was up.
Wonder how the town halls will be this election years vs. the ‘small govt’ (R) they love to preen and strut about smacks vs reality
Good point... they better be lowered... otherwise my taxes will increase significantly.... because if the brackets remain consistent with today... besides getting hammered by the reduction in itemized allowances... I will be moved into a higher bracket.... a double whammy.
All for lowering corporate taxes... but increasing it on families, particularly in the middle class, is not the answer...
Let’s see where this goes.