Wednesday, December 20, 2017

How the new tax brackets "affect the butcher, the baker and our lawmakers"

We have heard tax reform argued from two diametrically positions,
Democrats claim these are tax cuts for the "rich" and  Republicans
argue it will put more money in the pockets of the middle class,
but neglect to even mention the highest paid income earners.

If you have not researched the details yourself than you can be 
easily persuaded by partisan arguments. 

I found something  which neither side illuminates, it counters
the position of Democrats but has been curiously not presented
by Republicans.

Look over the comparison in the chart below. Find your income 
level to see how you will fare beginning on Feb. 1st.  Also look at 
what happens to other income brackets and you will easily see 
one side is right and the other is demonstrably wrong!

I noticed that income earners under $82,000, which includes the
"butchers and bakers" and majority of working Americans and 
pensioners, will see their rates drop by 3%. 

Next, income earners from $82,000-$157,500 will see their rates 
drop by 4%, and include most college grads in industries such as
technology, engineering, medical and finance. 

The group earning under $200,000 but more than $157, 000, and
includes every member of "Congress" will see their rate rise from
24% to 32%! (Perhaps,  this is why many Democrats are upset)

Lastly, the rate of those earning $200,000-$500,000 will also
be higher, from 32% to 35%!

But, aside from the rates there are "variances" in tax reform, in 
allowed deductions, which have Democrats equally distraught. 

But, these 'variances' again hit the highest income earners the
hardest, as limits to the amount of mortgage interest has been 
capped, from $1 million to $500,000 and state and property 
taxes deductions have been eliminated, offset by doubling the 
standard deduction that will protect most middle income earners.

Chart of bracket and income comparisons:

Inline image 1

Supporting report:




































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

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