How Will Tax Reform Really Take Shape Under Trump and Ryan?

It’s no secret that both President Trump and other republican lawmakers want to change t he nation’s tax code and lower taxes across the board. However, as you might expect, they have different visions as to how to go about this. To be clear, though, both sides of the argument, namely the president and House Speaker Paul Ryan do have the same stated goals: lower the tax burden on Americans and simplify the tax code. They just don’t have the exact same plan to do get it done.
For starters, the House, led by Ryan wants to cut the tax brackets from seven to three with the numbers being 33 percent, 25 percent and 12 percent. Originally the president had proposed 25 percent, 20 percent and 10 percent, but he has since raised his numbers to match the House.
Both the president and the House want to raise the standard deductions. The House checks in at $12,000 for singles and $24,000 for married couples, while Trump wants $15,000 and $30,000 respectively. Meantime, the House wants to wipe out all itemized deductions except charitable donations and mortgage interest. Trump on the other hand wants to keep all itemized deductions but cap them at $100,000 for single filers and $200,000 for joint filers.
Both the House and Trump want to lower investment income taxes, aka capital gains. The House would like to lower the rates to half of the standard income rates:16.5 percent, 12.5 percent and 6 percent. Trump would lower them by much smaller amounts. As for corporate tax rates, Trump wants to tax all of that income at 15 percent, while the House is proposing a cut from 35 percent to 20 percent.
These are just a few of the major changes expected to take place, but there will likely be others. So stay tuned because one way or another your tax bill will be affected.
http://www.marketwatch.com/story/important-news-on-tax-filing-deadlines-and-refunds-2017-01-10
Tax Relief Courtesy of Hurricane Harvey
While Hurricane Harvey continues to devastate the Gulf Coast, Texans can expect to receive a little extra relief this upcoming tax year from Uncle Sam. Taxpayers in the federally declared disaster area have the option of claiming disaster-related casualty losses for either the year that the event occurred or the year prior. This means that…
Trade Secrets and How to Protect Them
Trade Secrets and How to Protect Them A trade secret is a type of intellectual property distinguished from three others, namely copyrights, trademarks, and patents. Advantages of a Trade Secret No time limit like patents and copyrights No requirement for public disclosure No requirement to file with the government Trade secrets bring value to the…
You Must Give Up These 5 Things to Be Debt Free
You Must Give Up These 5 Things to Be Debt Free No matter who you are, almost everyone carries some debt. According to some recent statistics from ValuePenguin.com, the total U.S. consumer debt is $3.4 trillion. Additionally, nearly 40 percent of all American households have some level of credit card debt, while the average household…
Give These New Hobbies a Try in 2017
Give These New Hobbies a Try in 2017 Are you looking for something new to try this year? You better get going because the year is practically half over. If you’re tired of all the old, run-of-the-mill hobbies and you want a new adventure to pass some time, then there are several options you should…