NYers should fund their 529s. That one they can't pre-empt.
They schooled us. Can't prepay SALT income tax.
I think he was saying that they put a provision in to prevent people from maximizing their SALT deduction in 2017. Bill does not allow deduction of state taxes which will only be due in 2018, on 2017 taxes by paying early.
According to the language he quoted that is not true. As long as it is for the 2017 tax year it will be deductible.
The child tax credit as it stands now will not include 17 year olds as was originally passed in the Senate!What did Rubio gain? Doesn't seem much, and he caused them to kill it for 17 year olds.
Instead of an exemption for each child they are giving another 1k child tax credit with $400 of that add'l 1k refundable.
4050 - 1000 = 3050. That's a significant hit for a family of 7.
4050 is a reduction of taxable income. 1000 is a dollar for dollar credit. Someone in 25 percent tax bracket would lose 12.50, considering those 2. However, a married filing jointly under the current law starts losing child tax credit at 110000 agi. For someone with more than 3 children to be in the 25% bracket they would need to have agi exceeding 110000, in which case they lose the first 1000 credit. This bill raises agi for child tax credit to 400000. For those in the 15% bracket, exemption saved them 607.50 which is less than the 1000 credit.
Gain of having increased credit vs. Exemption is even greater considering this bill lowers tax rates across the board.
Yes. However if you take a family of 6 their taxable income is increased by 24k (loss of 4k exemption) possibly in a higher tax bracket before the credits kick in.
Do you have a 17 yo?
The Rubio move does not make ANY sense. Why should a family of 4 that earns $30k and already gets a fat return get another $400 child tax credit? Why not give the $400 to a family of 4 that earns $60k that pays taxes and can't make ends meat?
Why give it to either? If you can't afford kids don't have them.
They’re trying to get ppl to move out of blue states by removing the SALT deduction. Shrewd move by republicans.