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The final GOP tax bill is complete. Here’s what is in it.
Washington Compost ^ | December 15, 2017 | Heather Long (Oh Dear! Desk)

Posted on 12/16/2017 7:23:42 AM PST by Navy Patriot

The final plan lowers the top tax rate for top earners. Under current law, the highest rate is 39.6 percent for married couples earning over $470,700. The GOP bill would drop that to 37 percent...

A massive tax cut for corporations: Starting on Jan. 1, 2018, big businesses' tax rate would fall from 35 percent to just 21 percent...

You can deduct just $10,000 in state, local and property taxes: One of the most controversial parts of the GOP tax plan is the push to greatly scale back how much state and local taxes Americans can deduct on their federal income taxes.

Most Americans will pay less in taxes until 2026. The final plan lowers the tax rates for each income level and nearly doubles the standard deduction.

Working-class families get a bigger child tax credit: Thanks to a late push by Rubio and Sen. Mike Lee (R-Utah), the child tax credit would be more generous for low-income families and the working class. The current child tax credit is $1,000 per child. The House and Senate bills expanded the child tax credit, with the Senate going up to a maximum of $2,000 per child. The final bill keeps the $2,000-per-child credit (families making up to about $400,000 get to take the credit), but it also makes more of the tax credit refundable, meaning families that work but don't earn enough to actually owe any federal income taxes will get a large check back from the government.

The individual health insurance mandate goes away in 2019: Beginning in 2019, Americans would no longer be required by law to buy health insurance (or pay a penalty if they don't).

You can pass your heirs up to $22 million tax-free.

(Excerpt) Read more at washingtonpost.com ...


TOPICS: Business/Economy; Government; News/Current Events
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To: Bonemaker
yes, those rich Wall streeters will se record bonuses this year...

meanwhile, many will not even realize we're screwed....

but those people with those supposed kids in Mexico will get HUGE checks...and people that don't pay taxes will even get more money...

41 posted on 12/16/2017 8:51:21 AM PST by cherry
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To: factoryrat
I agree with most of what you say especially repeal the 16th and the 17th too.

but I don't get this?:
Corporate rate would be 20% on gross earnings receipts”

Corporate tax rates should be zero imo .Trump wanted 15% max but got 21% so far from the senate.

What right do you have to Intel's profits? Intel can put a massive , automated , futuristic computer chip plant in the USA or in China .if you and communists democrats want to harass them taxes and regulations Intel will put that plant in China. D you think a massive Intel chip manufacturing plant would be good for the USA or better in China?
s

42 posted on 12/16/2017 8:56:17 AM PST by Democrat_media (Mueller doing coup vs Trump. Obama was adding 97,000 pages of government regulations /year)
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To: Jim from C-Town
glad for your windfall...

however, no such windfalls were in place when my kids were little...

we depended on the property tax and mortgage interest credits as are children left the house....these deductions have been in place for DECADES...

but now, all of a sudden, just as we are in going into retirement, they pull the rug out from under us...

totally screwed....

43 posted on 12/16/2017 8:56:23 AM PST by cherry
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To: Jim from C-Town

I have four also. And I wasn’t getting ANY before because of my level of income.

Not only did they double the credit.. (more important for me , they raised when it start fazing out dramatically)

For me.. I will get $8,000 back.


44 posted on 12/16/2017 8:59:38 AM PST by TexasFreeper2009
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To: factoryrat
I agree with most of what you say especially repeal the 16th and the 17th too.

but I don't get this?:
Corporate rate would be 20% on gross earnings receipts”

Corporate tax rates should be zero imo .Trump wanted 15% max but got 21% so far from the senate.

What right do you have to Intel's profits? Intel can put a massive , automated , futuristic computer chip plant in the USA or in China .If you and communists/democrats want to harass them with taxes and regulations then Intel will put that plant in China. Do you think a massive Intel chip manufacturing plant would be good for the USA or better in China?

45 posted on 12/16/2017 9:00:20 AM PST by Democrat_media (Mueller doing coup vs Trump. Obama was adding 97,000 pages of government regulations /year)
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To: Bonemaker

Bonemaker wrote: “And individual filers will have to wait until they do their taxes to see how badly they get cornholed.”

There is more than enough information to determine how individual taxpayers will be affected. My family will see their tax bill reduced by almost 20%.


46 posted on 12/16/2017 9:00:46 AM PST by DugwayDuke ("A man hears what he wants to hear and disregards the rest")
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To: Fresh Wind

I run my own business and I have the option of operating as a corporation or a sole proprietorship. Even with the tax advantages a corporation has, it’s still more cost-effective NOT to be one in my particular situation.


47 posted on 12/16/2017 9:04:42 AM PST by Alberta's Child ("Tell them to stand!" -- President Trump, 9/23/2017)
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To: Democrat_media
Because they use government services just like individuals do, even more so. Maybe the rate is too high? The amount paid in is in proportion to government resources used. That, and companies, through lobby efforts, wield the tax code like a club for financial gain, and to suppress competition.

Most people miss the whole concept that the sole purpose of federal taxes is to pay for federal government services.

Want to reduce your federal tax bill?

Pressure your representatives in federal government to start swinging the axe on spending.

48 posted on 12/16/2017 9:18:20 AM PST by factoryrat (We are the producers, the creators. Grow it, mine it, build it. MAGA!)
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To: cherry

They retain $10,000 of the deduction. S


49 posted on 12/16/2017 9:22:35 AM PST by Jim from C-Town (The government is rarely benevolent, often malevolent and never benign!)
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To: Yogafist

I don’t like that part, it should have gone down, not up.


50 posted on 12/16/2017 9:26:55 AM PST by Balding_Eagle ( The Great Wall of Trump ---- 100% sealing of the border. Coming soon.)
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To: Jim from C-Town

Removing individual and dependents deductions will hurt. I am about to get soaked it seems. Guess I will wait and see the pain in 2019 when we file for 2018.


51 posted on 12/16/2017 9:36:14 AM PST by Tuxedo (This space for rent)
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To: SaxxonWoods

Yes. The current lifetime exemption per person is $5,490,000, so they basically rounded up by 10K and then doubled it.


52 posted on 12/16/2017 9:40:34 AM PST by Ancesthntr ("The right to buy weapons is the right to be free." A. E. van Vogt)
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To: Jim from C-Town

The biggest example of a corporation moving its operations overseas is Apple. I am not talking about their manufacturing operations in China, which was motivated more by labor costs than anything else. I am talking about what they have done with their intellectual property. Apple formed an Irish subsidiary many years ago to take advantage of Ireland’s very low corporate tax rates. I believe their top rate is 14%. Apple then contributed virtually all of its intellectual property to this entity, so that every time someone buys an iPhone, iPad or computer from Apple, a significant part of the price is going to that Irish subsidiary, which has extraordinarily low costs. Ironically, that Irish subsidiary has most of its money sitting in US-based banks, but the US government cannot touch either the money it earned in the first place, or the interest that it earns in those banks, because it is all Ireland-based. Apple has now got approximately 250 billion dollars of earnings overseas that have never been taxed in this country, and never will be unless we give them a big break on repatriating those funds.

Frankly, even with a rate differential of 7%, Apple has no reason to disband it’s Irish subsidiary or to alter its operations in any way. The only thing that will make them do that is pressure from the public and its shareholders.


53 posted on 12/16/2017 9:47:24 AM PST by Ancesthntr ("The right to buy weapons is the right to be free." A. E. van Vogt)
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To: Navy Patriot

“The individual health insurance mandate goes away in 2019: Beginning in 2019, Americans would no longer be required by law to buy health insurance (or pay a penalty if they don’t).”
That sucks. Why two years? Why not now!


54 posted on 12/16/2017 9:54:16 AM PST by tumblindice (America's founding fathers: all white armed conservatives)
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To: factoryrat

“Corporate rate would be 20% on gross earnings receipts. No exceptions. No accounting tricks either.”


You would put every single business that operates on high volume and low margins out of business instantly. You simply cannot tax gross receipts, you MUST allow deductions for labor costs and the cost of goods sold. Business earnings are not like individual earnings. When you or I go to work, other than our transportation costs, we pretty much net everything that we bring home after taxes. On the other hand, a business usually has to pay rent on its premises, insurance, labor costs of many different types, utilities and (believe it or not) actually pay another company something for the products or raw materials that it then turns around and sells to the public.

While I cannot know for sure, it seems to me like you have never been in business before, but have always worked for others.


55 posted on 12/16/2017 9:57:35 AM PST by Ancesthntr ("The right to buy weapons is the right to be free." A. E. van Vogt)
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To: Yogafist

There will be more people paying no taxes because they raised a lot of higher middle class taxpayers taxes. Us. And I’m pissed about it.


56 posted on 12/16/2017 10:00:46 AM PST by sheana
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To: bobcat62

Share buybacks rapidly increase share prices. That increases the wealth of every person that holds IRA’s or invests in mutual funds or has a pension.

Increased dividends are sent to stockholders. These are anyone that holds stock in companies and those that have IRA’s and Pension funds invested in mutual funds and stock portfolios.

These people spend their dividends and that too spurs the economy.

It is much more likely that a vast majority of corporations will use the money to invest in new plant and equipment as the bill allows for immediate expensing on new plant and equipment. That means instead of expensing a new press or plant over the decades of its’ useful life, a corporation could bring $50 million back from Ireland or Israel and invest it in a new set of production presses in Ft. Wayne, IN and instead of paying 39% tax off the top, they will be able to pay nothing as they would be able to expense the entire amount right away.

They avoid both the original 39% corporate tax AS WELL as the 21% new corporate tax because they do not have to expense the unit $2.5 million dollars a year over the next 20 years of the press equipments expected life.

This account trick just added hundreds of billions if not trillions of dollars into the domestic economy by incentivising corporations to invest in new plant and equipment, particularly since they can do so with profits they retain overseas and can do it tax free.

This is a major part of the bill that most people seem to be overlooking.


57 posted on 12/16/2017 10:05:56 AM PST by Jim from C-Town (The government is rarely benevolent, often malevolent and never benign!)
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To: Tuxedo

Maybe, maybe not. The individual exemption doubles.


58 posted on 12/16/2017 10:10:48 AM PST by Jim from C-Town (The government is rarely benevolent, often malevolent and never benign!)
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To: Navy Patriot

4Ltr


59 posted on 12/16/2017 10:30:13 AM PST by JDoutrider
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To: Bonemaker
And individual filers will have to wait until they do their taxes to see how badly they get cornholed.

Why wait?

taxplancalculator.com

60 posted on 12/16/2017 10:36:12 AM PST by lightman (ANTIFA is full of Bolshevik.)
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