- The 10% bracket rises to an expanded 15%
- The 25% bracket rises to 28%
- The 28% bracket rises to 31%
- The 33% bracket rises to 36%
- The 35% bracket rises to 39.6%
Add to that a higher capital gains tax, a tightened marriage penalty, a slash in child tax credits, and the return of the death tax (55% for estates over $1 million). There's more, and that's just the FIRST wave. Check out the second and third waves! Obamacare is slouching toward your family's finances, and the Alternative Minimum Tax lurks in the shadows for 28 million taxpayers.
Ask not for whom the bell tolls. It tolls for thee.
/a cuppa Tetley's to Hot Air.
I'm not clear on exactly what this means:
ReplyDeleteThe standard deduction will no longer be doubled for married couples relative to the single level.
Married folks with only one income can take only one standard deduction? That doesn't sound right.
Aridog? Anyone?
Lady Red...no expert on the new tax stuff...yet. I knew my health care supplement was going up markedly, and that my refund was likely history...otherwise I've just been waiting for the ax to fall.
ReplyDeleteI will get up to speed shortly.
Some of this information is at odds with what I've seen elsewhere. Specifically, the ratcheting up of the lower brackets (10% -> 15%) doesn't sound right. Also, I think the estate exemption could be about 3.5 mil, not 1 mil - I'm not even sure this is settled yet.
ReplyDeleteMuch of the rest of it does however jibe.
Repeal in Nov., God willing.
ReplyDeleteOh. Yay. Whoopee. Can't wait!
ReplyDeleteOK, this article explains things.
ReplyDeleteYes, everyone's taxes will go up if they don't change the law.
The talking point with regular folks here is simple - either Obama and Congress change the law and extend the Bush tax cuts for the lower brackets - and thereby acknowledge that the whole narrative of Bush tax cuts "for the rich" was a lie - or let them all expire, and break the promise not to raise taxes on people making less than $250K.
I have no idea which way this will go but Obama and Congress should get hammered on it either way.
Thanks for the article lewy; it cleared up a few of my questions.
ReplyDeleteJust IMO: The people with the power to change anything, Pelosi and her Congress....and believe me, everyone there go the "Stupak message" loud and clear....will do nothing to retain the Bush Tax cuts for anyone.
ReplyDeleteThey're cynical enough to know that once it happens, it's a done deal...and of course, Bush's fault for not making them longer term....and now we can't do that because of all these other crises, yada yada....take your pick of which will be spun up for the occasion.
The conceit of this Congress exceeds ordinary hubris. Obama has no more to say about what they do than I do or you do...he's a stalking horse in an empty suit, bright but without common sense. My new nickname for him comes from "Oliver Twist"...he's the "Artful Dodger."
The Artful Dodger! I like that.
ReplyDeletePelosi & company would squash Obama like a bug if it suited their purposes.