Trump Tax Plan (Maybe)

[piasabird]

http://www.businessinsider.com/who-...f-the-main-changes-that-would-affect-people-1

This article has some interesting tax ideas in it.
Only 3 tax brackets:

Current: 10%, 15%, 25%, 28%, 33%, 35%, 39.6%

Proposed: 12%, 25%, 33%

• The standard deduction would go way up. It jumps from $6,300 to $15,000 for singles; for married joint filers, it jumps from $12,600 to $30,000. (Is head of household gone?)

With large standard deductions a lot of people that make less than $30k should do quite well. Where it looks like it hurts is for single parents making over $15k. However, if they got married they would get the standard deduction of $30k. Now that is an incentive for marriage if you ask me. That could be a good thing. However, with no child deductions, than when you get to 3 children, you pay more taxes. My opinion would be that with a declining birth rate maybe we need to incentivise that 3rd and 4th Child for married people.

Head of household would be gone.

I saw another article that looked like some kind of credit would exist for EIC.

This looks like a good deal for the elderly empty nesters.

 

[MomentsofSanity]

Massive increase in military and infrastructure spending and massive tax cuts offset by not nearly enough spending reductions in places like State Dept and EPA. This isn't going to end well at all if it passes as what has been suggested will be proposed.

 

[piasabird]

What I would like to see is raising the income people can make while on SS so they could supplement their income.

 

[ivwshane]

What deductions would lower income people take advantage of with the new tax brackets and increased deductions? I'm not aware of the lower class complaining about their deductions being capped, are you?