Posted on 12/04/2017 9:27:32 PM PST by Oshkalaboomboom
I see if that way. If one group pays more they are covering those that pay less. Just like with social security payments - those paying in the most get a smaller percentage back and they subsidize those paying less who get all of their money back plus extra.
Those getting the EIC credit are subsidized by those actually paying taxes.
The issue of state taxes is unrelated to federal tax. They should each stand separate, particularly so blue states are forced to take responsibility for over taxing their citizens.
Half of that is from me!
Screw you! I’d bet we pay more in taxes than most on this board.
It’s likely that small increase is the standard deduction (taking into account the loss of the personal exemption) wasn’t enough to cover your SALT.
Sorry about that.
Unfortunately the RINOs are too cowardly to stand up to the democrats, so they increased taxes on some. A simpler across the board cut would’ve been better.
Then we need to remove the new deduction for private school tuition.
I would be happy with the personal exemption change.
If you “deficit hawks” think that raising the top marginal rates, limiting deductions, eliminating exemptions, and lowering the bottom marginal rates will INCREASE federal revenue and close the deficit gap then you are crazy. Federal revenue increases year over year anyway and would have without this “reform”. The only time federal revenue deceases year over is year is when GDP is less than 1.5%. So this is just a punitive tax reform.
RE: Tax Plan Is a Cut for Everyone
No it isn’t. Not to those who live in NY, NJ, CT and CA.
It’s a screw these 4 states and those who invest their money in developing real estate bill.
“From what I have read, it starts in 2018. I can’t wait to lose $600-900 next year.”
How do I know, without looking, that you would be a FR non-Contributor? Too broke to send 10$?
More money in the hands of the people is a good thing. Less money in the hands of bureaucrats in the bloated federal government is good thing.
Can we have more tax cuts? How about reduction in property taxes around the country?
JoMa
I am completely ignoring state income taxes, which I estimate will be less than $1,000 for us next year. What's dinging us is the loss of the deduction for medical expenses.
The premiums for an under 65 retiree plan plus Medicare, Medicare supplemental, and Plan D. along with minimum expected costs, is estimated to be over $12K. The deductible part of that expense, plus nearly $10K in property taxes, plus the mortgage interest (last third of the loan) doesn't get us to $24K.
Under the current plan, when the personal exemption is added in, we end up with a bit over $9K more in deductions. Even with the higher tax rates, we would still end up with $600-800 more in our pockets.
Retiree couples from high property tax states, like California, New York, Texas, Florida, etc., very well will see less money next year.
The Swamp is a master of phraseology to keep the money coming in. Tax Cuts without Spending Cuts = Deck Chair Shuffling.
“What’s dinging us is the loss of the deduction for medical expenses.”
Yeah, they should not have messed with that. I can see the validity of not mingling state and federal taxes, but the medical deduction? There’s no excuse for taking that one away. When people have high medical bills, it’s the only thing that can help them. And these days - a lot of us have high medical bills! Medical costs are outrageous. No matter what state you are in. This could ding people anywhere.
Did they add that in?
Interesting.
Well, parents sending kids to private school are forced to still pay taxes to the local schools that are just freebies for the state. But that is a state issue, so the deduction should go there.
There are far too many games being played in taxes, trying to influence people’s choices by punishing or rewarding them. My choice is a flat tax.
I’m sure that was a joke.
If you’re in Mexifornia, you likely pay a lot. I escaped there 2 years ago and cannot believe my property taxes here! (Although our sales tax is outrageous, if that helps you feel any better).
Those in the high tax Blue states like CA, NY & NJ are 65% liberals and liberals don’t like to pay taxes, they will move and infect the no/low Red tax states.
Two high tax Blue states of Michigan & Wisconsin, just went for Trump, probably won’t again
Then I guess they can vote for a Democrat who will lower their taxes. That’s what they think.
Just to be clear, you can still deduct medical expenses (I think it is being discussed as anything over 7.5% of AGI (current it's anything over 10% of AGI).
The problem is most retirees are not going to hit the standard deduction at $24K, so those excess medical expenses are effectively not a write-off any more.
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