I think we may see one of those re-alignments where the mainstream Democrat party takes on the economic positions of the old GOP and the GOP eventually takes on the protectionist/populist stance the Democrat party once did. We kind of already saw that with Hillary. Now that of course goes out the window if the Bernie wing of the Democrat party takes control, but I just don't see that happening.

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

The plan is now out and the 401k's are not touched. Pass this shit. Especially the doubling of the child tax credit.

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

My read on this is that it is an absolute cluster fuck. I can't believe how screwed up the deductions are, which nullifies the simplification argument. For God's sake, would someone tame the damn realtors and this vaunted interest and property tax deduction? They are doubling the standard deduction, which eliminates the benefit for most families and reduces the value of the benefit for the rest.

I am so sick of the complexity of our system. I can barely help out family and friends. It took me years to convince my parents to pay off their mortgage because my mom was so insistent that paying interest to the mortgage company was good for her tax bill. YOU ARE GIVING THEM "X" DOLLARS PER YEAR TO SAVE A FEW PENNIES ON YOUR TAX BILL MOM!

You're fucking home interest deduction (along with other local taxes) is only valuable to the extent it exceeds the standard deduction.

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Hawaii (fuck) You

That’s like when my wife kept buying shit for her at-home business because she could “write it off.” I think she honestly thought the government just gave her the money back.

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Yeah, the people who want a mortgage for that dedication make my head spin. You're literally paying a dollar to get back 25 cents.

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

I know this is an unpopular opinion, but doing away with the SaLT deduction is perfectly fine in my book. It is just a scheme to subsidize citizens who live in high tax states. Having it gives no incentive for citizens to demand accountability of their local and state governments. If it fucks over crooked places like Illinois and New Jersey, so be it.

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

Get rid of all individual deductions and leave the standard one in place. 90% of America could file their tax returns in one minute.

Wage income
Interest income
standard deduction
Taxable income
tax

done

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Hawaii (fuck) You

This was exactly what a bipartisan commission said they should do in 2010. Of course neither party will ever get behind it.

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

High tax states contributes MANY more dollars than they receive back from the federal government. Do we need to hold those states which are takers accountable?

This is why everyone hates Rs and Ds.

Just fucking work together instead of this temporary kick the can down the road bullshit. People and businesses want clarity when making decisions. How is a tax cut that expires in 8 years reform?!?!?!

Gutless.

The R's just want it to be a wedge issue in future elections. If you are for letting the temporary rate expire, that means you are for raising taxes.... (Yes, I know bullshit, but it plays well in political ads).

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They have to let it expire to use the Reconciliation process in the Senate. It is not being used as wedge issue, although it will become one.

If the tax cuts are permanent, under Senate rules, then the D's can filibuster it. Recall, they are pushing this through as part of the budget process, not regular order.

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Hawaii (fuck) You

I am sick of the code being used to favor one group over another. Why do homeowners get to deduct property taxes and interest, but renters can't deduct rental payments? Those rent payments are equivalent to interest and have an implied property tax component built in. Why should someone giving to charity get a deduction over someone that chooses to spend that money on their kid's clothes?

The tax code should be used to raise the necessary revenues to cover societal expenses. It should be simple and efficient. And while I do not like the progressive nature of the rates, I understand why they make sense. If we had a very high standard deduction, then a flat tax would in fact be progressive.

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Hawaii (fuck) You

Douchebag is spreading #FakeNews. Shame

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

Just read through the actual bill. I saw where the brackets attach. In calculating my own taxes, it looks like it will be neutral for me. I am just glad they got rid of the AMT, which is such a pain.

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Hawaii (fuck) You

losing state income & property tax deductions would have been a killer for the Oak Park subdivision.

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Reality is your friend, not your enemy. -- Seacrest

What exactly is the part about streamlining education benefits and taxes about?

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property tax deductions are there, just capped to $10,000

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“When I walked in this morning, and saw the flag was at half mast, I thought 'alright another bureaucrat ate it.'" - Ron Swanson

See if this link works:

https://www.scribd.com/document/363306066/Tax-Cuts-and-Jobs-Act#download&from_embed

It starts on page 91. I will look at it now.

Edit: I am going to need an interpretation on that section. It seems like they are allowing 529's for primary and secondary schools too. I am no good at reading these bills.

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Hawaii (fuck) You

Standard deduction is $24,400 for joint filers. I am interested in how they handle itemize vs. standard deduction.....just for curiosity.

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Hawaii (fuck) You

Did I hear it right, that it's going to add 1.5 trillion to the debt unless we realize four percent sustained growth?

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There are only two examples of infinity: The universe and human stupidity and I'm not sure about the universe.

What you are hearing is that the budget resolution passed by Congress allowed the bill to cost up to $1.5T. Thus all the jockeying to get the scoring under that number. These bills are generally scored in a static manner by the CBO. Meaning, they do not take into account any economic growth that results from the tax cuts. And of course, there is a very wide dispute as to what if any growth will result.

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Hawaii (fuck) You

Thanks for the link.

You are right that reading these documents can be painful.

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They are tough in part because they refer to other parts of the code. Plus I am 15 years removed from my CPA exams, and the code I studied has changed a ton. So I only know the code as it relates to my complex situation. All the breaks phase out for me, and I am stuck in the AMT so I don't get any deductions.

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Hawaii (fuck) You

Thanks, but now I'm getting flashbacks from macro classes 30 years ago

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There are only two examples of infinity: The universe and human stupidity and I'm not sure about the universe.

I was starting to make a post about all the impacts of the corporate tax code changes, but then thought better of it. The individual stuff won't make much of a difference. These corporate changes are absolutely huge. We will see capital migrate quickly back to the U.S. What growth will result, well, that is going to be the subject of ugly partisan fighting. No one knows. The research is as mixed as the impact of higher minimum wages on employment.

The tax cuts will not pay for themselves. They will probably pay a small portion of the $1.5T cost. But long term, this is very good for the domestic economy. It is very very good for companies that are only U.S. based. Multinationals played the game well, and that is why their effective tax rates are so low. Domestic C-corps can't do that.

If anyone has specific questions, that may be a better way for me to explain things.

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Hawaii (fuck) You

That is awesome info RPB. Very well laid out.

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Hawaii (fuck) You