Page 128 - Deductions News Today

Theres the business community where its always trying to push each other. connell: and that last point, i think, is important because we all were wrapping up the week thinking that all american businesses would be onboard with this. but now im not so sure. some of the small business owners appear to have questions. what are you hearing about that? is it as popular as it seemed with the business community? >> well, i think overall just the fact that the rates go way down is making the business co...

Pete: if you are simplifying the code not winners and losers. people used to have a deduction dont have anymore because the tax code is not going to be a thousand pages long its going to be simple find. >> if you take those deductions away you will lower the rate you will end up okay. again, by taking away the deductions, you will help states that dont impose a terribly high income tax on their taxpayers. , which you know, i would love to see. i put in a bill when i was in the new york state ass...

Local taxes, the property taxes, but there are other deductions that are going away here, theres the credits for elderly and disabled, adoptions, student loans, tax preparation, medical expenses, alimony, moving expenses, the medical savings accounts, the unreimbursed business expense, educator expenses, meanwhile, you bought the to super rich. theyre going to save $172 billion on estate taxes, 696 billion on alternative minimum taxes, $847 billion on corporate taxes. >> yeah, thats exactly the ...

Lot of details. its a very complex piece of work, 400 pages. >> exactly. >> its going to find i would guess well over 10 million middle income families will pay higher tacks because of this plan. these will be families who itemize deductions, take the itemized deductions, which now some of which are going to be eliminated. theyre families that live in blue states, typically, big states where state and local taxes will no longer be exempt. those are going to lift taxes. the personal exemption, th...

Move us to a balanced budget. part of it will be because of strong growth. that really helps, not just in washington but mainly back home as well. you also have to cut out all the special interest deductions and loopholes and all that. the reason we go to the simple po postcard approach, is we eliminate special loopholes so we can lower tax rates to everyone. thats part of getting to a balanced budget as well which is where we want to go. >> we often hear that tax cuts lead to growth, but thats ...

Does away with some deductions. our phil mattingly joins us now. what does it look like for middle class americans. >> the answer to whether or not this will be good or bad could very well make or break the future of this plan of the take a listen to what speaker paul ryan told me in an interview earlier today. >> can you guarantee that all middle class taxpayers will see a tax cut. >> thats the entire purpose of this. it gives an average family of four about a 12 hundreds tax cut. i think thats...

The -- and does away with some deductions. what does it look like for middle-class americans? >> answer to whether or not could be good for bad for middle-class americans could be factor that makes or breaks the plan. paul ryan earlier today. >> can you guarantee that all middle-class taxpayers will see a tax cut? >> thats the whole purpose of this. family of 4, $1,200 tax cut. going to help people living paycheck to paycheck. going to be a game-changer for the economy. >> its a little bit more ...

This is branded as a tax cut for the middle class. lets start there with what this means for average americans. it is going to shrink all of these tax brackets from 7 to 4. couples making up to $90,000 a juror or individuals for $45,000 will pay 12%, 25%, 35%. the bill also nearly doubles the standard is deduction. $12,000 for single and 24 grand for couples. fewer people will itemize claiming fewer deductions. it also eliminates personal exemptions. that could hurt families with three kids or m...

Removing income tax deduction altogether, hairy issues. northeastern republicans from high tax states have stated unequivocally will be against if they dont see changes. but what will win out? wanting to move forward or in the weeds propositions? >> republicans obviously want to move quickly on this. >> theyre not -- hyperspeed is way one described it to me. staring at reality. theres a reason this hasnt been done. interest groups and people that care about deductions you have to get rid of to f...

There are winners and losers for middle class taxpayers. it generally cuts tax rates and there are deductions. there are things that havent been talked about. if you have medical expenses you lose the ability to deduct those. if you have student loans you lose the ability to deduct student loans from taxes. for state and local income taxes, there is talk. most middle class taxpayers will see a tax cut there. are some, it will depend on your individual situation whether you live in a blue, high t...