Poll: Will Trump’s proposed Tax Brackets Help or Hurt you?
Neutral
Help
Hurt
[Show Results]
 
Will Trump’s proposed Tax Brackets Help or Hurt you?
Post Reply
 
Thread Rating:
  • 0 Votes - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
16-12-2016, 06:06 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
(15-12-2016 08:51 PM)Full Circle Wrote:  [Image: 1-trump-tax-changes-f-954b.jpg]

Notice how the very poorest get their tax bumped up 2% and the two higher tiers get taxes reduced by 7% & 2%. Consider Didn’t see that coming. :roll eyes:
https://howmuch.net

Just did the math. Saves me $1984.50 before deductions. Probably half of that after deductions. An extra $1000. woo fucking hoo.

There is only one really serious philosophical question, and that is suicide. -Camus
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 07:45 AM (This post was last modified: 16-12-2016 07:51 AM by Full Circle.)
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
Here is another tl;dr post from yours truly, I wish I could make them shorter but the topic is not easily condensed to a blurb.

I looked up more info on current tax payers and brackets and Trump’s proposed changes and found...

[Image: Bracket%20Numbers.png]
http://taxfoundation.org/blog/how-many-t...ax-bracket

"As shown in the graph above, over 42 million American households fall into the 15% bracket, making it the most common tax bracket. Households in this bracket pay 15 cents of each additional dollar of salary they earn in income taxes; however, their overall income tax rate is usually much lower. On average, households in the 15% bracket pay 6.5% of their income in income taxes, due to the standard deduction, personal exemptions, and various tax credits.”

http://taxfoundation.org/article/details...s-tax-plan

Distributional Impact

"On a static basis, Donald Trump’s tax plan would increase the after-tax income across all taxpayers by 10.2 percent, on average, and taxpayers in all income classes would see higher after-tax income.

Taxpayers in the bottom deciles (the 0-10 and 10-20 percent deciles), would see increases in after-tax adjusted gross income (AGI) of 1.4 and 0.6 percent, respectively.
(This means the vast majority will pocket between an extra 60 cents and $1.40 per $100 in income)

Middle-income taxpayers with incomes that fall within the 30th to 80th percentiles would see larger increases in their after-tax AGI, of between 3.0 and 8.3 percent.
(Equals $3 to $8.30 per $100)

Taxpayers with incomes that fall in the highest income class (the 90-100 percent decile) would see an increase in after-tax income of 14.6 percent.
(Now we’re talking! The affluent pocket an extra $14.60/$100 of taxable income)

The top 1 percent of all taxpayers would see a 21.6 percent increase in after-tax income.
(Trump and other multi-millionaires and billionaires keep an extra $21.60 per $100 ‘cause they certainly need it.)

"On a dynamic basis, the plan would increase after-tax incomes by 20 percent on average. (FC: skewed by the upper income increases) all deciles would see an increase in after-tax AGI of at least 10.6 percent over the long-term. (FC: skewed by the upper income increases) Taxpayers that fall in the bottom three deciles would see their after-tax AGIs increase between 10.6 and 11.5 percent. Middle-income taxpayers in the 30th to 70th percentiles would see increases in their after-tax AGI by as much as 19.7 percent. The top 1 percent of all taxpayers would see an increase in after-tax AGI of 27.0 percent.”

This all great and good (especially for the high tax brackets) but what does it mean to the deficit?

"Conclusion
Donald Trump’s tax plan would enact a number of tax reforms that would both lower marginal tax rates on workers and significantly reduce the cost of capital. These changes in the incentives to work and invest would greatly increase the U.S. economy’s size in the long run, leading to higher incomes for taxpayers at all income levels. The plan would also be a large tax cut, which would increase the federal government’s deficit by over $10 trillion, both on a static and dynamic basis.

The best part for me and other business owner’s is this (mind you that my personal stance is counter to my financial bottom line because I believe that our social contract requires that those who benefit the most from open markets should contribute the most to fund a stable and functioning government).

"Business Tax Changes
Cuts the corporate income tax rate from the current 35 percent to 15 percent.”
(The biggest corporations could save 87 billion in taxes http://www.marketwatch.com/story/sp-500-...2016-12-14)

It means the country piles on new debt on their shiny new credit card and passes it down the road to the next generations. It means that drastic changes/cuts will have to be made to entitlements (Social Security and Medicaid) such as lowering payouts or raising the retirement age, the two things that non-billionaires depend on the most as they get older.

I don’t have kids but I have nephews and nieces and this is going to affect them in negative ways. Already the new generations are the first not to make as much as their parents, this will only saddle them with more financial headwinds in the long run. But hey it’s good for the upper income brackets NOW so who cares?

“I am quite sure now that often, very often, in matters concerning religion and politics a man’s reasoning powers are not above the monkey’s.”~Mark Twain
“Ocean: A body of water occupying about two-thirds of a world made for man - who has no gills.”~ Ambrose Bierce
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 08:59 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
Looks like my wife and I are going to save a whopping 3%. Talk about middle class relief!
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 09:24 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
This plan is nothing more than corporate welfare and will be passing a huge debt down to future generations.
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 09:36 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
(16-12-2016 07:45 AM)Full Circle Wrote:  I looked up more info on current tax payers and brackets and Trump’s proposed changes and found...

3 out of 4 taxpayers have an AGI < $37,500 ($75,000 married). Blink

There is only one really serious philosophical question, and that is suicide. -Camus
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 09:46 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
(16-12-2016 09:24 AM)ohio_drg Wrote:  This plan is nothing more than corporate welfare and will be passing a huge debt down to future generations.

The definition of welfare is "the health, happiness, and fortunes of a person or group."

In that respect, you are right.

But if you mean welfare as in handouts, you would be wrong. It's not a handout to take less from someone. It's theirs to begin with.

"Evil will always triumph over good, because good is dumb." - Lord Dark Helmet
[Image: 25397spaceballs.gif]
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 09:55 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
Neither, directly.

What are deductions?

Huh

Find all posts by this user
Like Post Quote this message in a reply
[+] 1 user Likes DLJ's post
16-12-2016, 09:59 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
(16-12-2016 09:55 AM)DLJ Wrote:  Neither, directly.

What are deductions?

Huh

Are they like exemptions?

There is only one really serious philosophical question, and that is suicide. -Camus
Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 10:16 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
(16-12-2016 09:59 AM)GirlyMan Wrote:  
(16-12-2016 09:55 AM)DLJ Wrote:  Neither, directly.

What are deductions?

Huh

Are they like exemptions?

Dunno. Why would anyone want to be exempt from paying their share? Wouldn't that be like arguing that one contributes less to the restaurant bill because one doesn't drink.

From each according to his ability, to each according to his need.

End of.

Smile

Find all posts by this user
Like Post Quote this message in a reply
16-12-2016, 10:21 AM
RE: Will Trump’s proposed Tax Brackets Help or Hurt you?
I still have no clue how this is going to affect me. Undecided I am not fluent enough in tax-speak.

Find all posts by this user
Like Post Quote this message in a reply
Post Reply
Forum Jump: