Posted on 11/03/2017 8:55:30 AM PDT by gattaca
Republicans in the House of Representatives are set to reveal their tax plan, titled the "Tax Cuts and Jobs Act." The bill sets up a broad set of changes to the corporate and individual tax systems, including major changes to the things that can be deducted from your federal taxes. The Republican tax plan repeals an itemized deduction that applies to healthcare expenses. That's key for families with high medical costs, like those dealing with chronic conditions that require medical devices and other expensive equipment. Right now, those expenses can be deducted from their taxes, but under the Republican tax plan, they wouldn't be able to. Under current law, individuals who spend over 10% of their income on medical expenses are allowed to deduct part of those costs from their taxes. The proposed new bill would remove that deduction. According to the Internal Revenue Service, for 2016 taxes, individuals were able to deduct in an itemized way "only the amount of your unreimbursed allowable medical and dental expenses that is more than 10 percent of your adjusted gross income."
(Excerpt) Read more at businessinsider.com ...
“Women and minorities hardest hit.”
If you are getting a bigger tax cut than the measly medical deduction currently available, you are still coming out ahead. You can’t have a tax cut and still keep all your deductions because that would make you a Democrat, who didn’t mind adding $10 TRILLION to the nation’s debt.
I guess I agree with your portrayal, I happen to have a large medical premium (I guess that is because I wanted a “Cadillac” health care plan to go with my numerous health issues) That ensured that I met the medical deduction threshold and along with my out of pocket expenses this became the highest component of my schedule A deductions. My deductions exceeded the $ 24,000 value set for married filing jointly. This means that the new tax plan is not as good for me even though I believe I will end up paying less under the new plan. It could be even better if I could get these deductions back.
Still, I am not interested in keeping the current flawed plan, so I will support the new bill. And I am definitely not a socialist, but I realize that Trump compromised somewhat from a pure Republican type bill. For example, he is keeping the so called “progressive” brackets of the old plan. I would most like to see a single rate imposed on all. Flat Tax
As long as the government spends more than they take in how can you expect a tax cut?
So you're claiming it wouldn't cost (the government) anything to leave it alone??? Personally this has been my biggest deduction the past few years and with the way my health insurance premiums have been climbing its been a very easy deduction to reach. And they're taking my second biggest deduction, the state income tax one, away too.
If you are buying an individual health plan you can easily qualify for the deduction. My premiums are 25 pct of my income
Things change and I have been retied for while. When I had a job Health insurance was not nom so not an expense. I have a supplemental SS plan but it doesn't come close to being a deduction for FED. State considers it though. I am from a time that soap and toothpaste was legitimate medical expense.
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