Tax Reform, 2018 edition

As the year is coming to a close many of us are giving thought to 

preparing our taxes.

Earlier this year I viewed next April 15th with anticipation as it 

was to be the last year complex tax returns would be required 

by the IRS. 

We were told future submissions would be so simple the highly 

touted "post card" politicians have been promising for decades 

is all that would be required!

Unfortunately, promises 'post marked' from Washington usually 

can only be found in the 'dead letter office'.

Add, if what we are now hearing from politicians is true than tax

"reform' will be little more than shifting the burden from some 

taxpayers to others  and not eliminate much of  the 70,000 pages

of our tax code, which should please the lobbyists working for

HR Block and Turbo tax!

The simplification effort began in the House, which initiates all 

taxing and spending, by promoting the replacement post card

earlier this year.  But, other than speculation of what was to some, 

little if anything was presented to the public.

The House, which hasn't even produced its required budget on time,

began to work in earnest last month when its offered a reduction in

the number of brackets from five to four with the highest rate remaining.

And, to appease the 'get the rich' loons the House introduced an 8% 

surcharge on their income.

The only thing that dropped was the promise all taxpayers would see

their taxes cut!

Additionally, coupled with tax plan,  the House offered a $4 trillion 

budget that would add $500 billion in new debt to the $22 trillion we 

already owe!  

It appears the only person in Washington who wants to cut federal

spending is President Trump!

Once the House submitted its plan the Senate rolled up its collectives

sleeves and began to develop its own tax reform plan. 

Not to be outdone by the broken promises coming from the House the

Senate 'trumped' its  colleagues by ADDING two brackets, now totaling 

seven!

The other promise, lowering corporate taxes to 20% from 39% never 

made it out of committee, citing any reduction would not occur until

2019, notably after the 2018 election, more than a coincidence in a 

city governed by a calendar.

History serves as a reminder when Congress commits to doing something

'down the road', the road is usually filled with political land mines to give 

them cover for not doing anything at all, leaving it for a future Congress.

Keep this in mind as to begin your Christmas shopping, don't overspend. Congress is no different than Santa and we all know who pays for what

Santa delivers!

Oh, also there will be no need to purchase a 'post card' either.   

Feedback appreciated. Feel free to enter in comments section below, or email, ajbruno14@gmail.com "Point of View" blog http://ajbruno14.blogspot.com/