Bush Tax Cut

[Fly Rod]

If the extension of the Bush tax cuts are not re in stated the average family of four making 50,000 will be paying 2,900 more in taxes. This means that to break even the bread winner would have to work aproximately three extra weeks under the table and be paid 961.54 a week to break even.


A typical family of four with a household income of $50,000 a year would have to pay $2,900 more in taxes in 2011, according to a new analysis by Deloitte Tax LLP, a tax consulting firm. The same family making $100,000 a year would see its taxes rise by $4,500. Wealthier families face even bigger tax hikes. A family of four making $500,000 a year would pay $10,800 more in taxes. The same family making $1 million a year would get a tax increase of $52,300.

[RIROCKHOUND]

Umm..

did I miss the plan where the cuts were not going to be extended for this income bracket???

[spence]

Originally Posted by RIROCKHOUND

Umm..

did I miss the plan where the cuts were not going to be extended for this income bracket???

Republicans don't want to vote for it. It's a game of chicken...

-spence

[RIJIMMY]

kinda funny its still called "the Bush" tax cut.
Admins pass all kinds of legislation but I dont recall it lingering after they moved on. Whos name is on the earned income credit? Alternative minimum tax?
Did you see that 30 dems sent a letter encourging O to keep the tax cuts for all tax brackets? Funny how elections do that to people. Who would have thought siding with Bush would win you votes?

[likwid]

Originally Posted by Fly Rod

The same family making $1 million a year would get a tax increase of $52,300.

I don't think anyone making a million+ a year is filing their own taxes and getting gouged as suggested.

And doing the math, I call shenanigans.

[RIJIMMY]

Originally Posted by likwid

I don't think anyone making a million+ a year is filing their own taxes and getting gouged as suggested.

And doing the math, I call shenanigans.

alternative minimum tax - no loopholes, no tricks, no options. You get nailed.

[justplugit]

Since the primaries the Dems have lost 38 members so far to wanting the tax
cuts rescinded.

Obama's idea is to offer tax incentives for small business and then increase
taxes on those making over $200-$250,000.
According to Salary.com the average small business owner makes $233,600/yr.
He giveth and then taketh away being most small business owners fall in that category.
Why would you want to expand your business so you can pay more
personal income tax?

What we need is someone like Chris Christie, Governor of New Joisey,
who has cut every state department across the board and then put a 2% cap /yr on all new expenditures.
In addition he has done away with 60 useless bureaucratic agencies and programs.
That's a start.

[RIJIMMY]

I thought O was capping all expenses?

[RIROCKHOUND]

Originally Posted by justplugit

Since the primaries the Dems have lost 38 members so far to wanting the tax
cuts rescinded.

I'm confused..
how do the dems lose someone in the primaries? do you mean an incumbent dem lost to another dem? if so, good. some turnover and balance would be good.

Second, does the average small business make 233K? or is that the average take home of the owner? Big difference.

[RIJIMMY]

38 dems want to keep the bush tax cuts for all
Posted from my iPhone/Mobile device

[spence]

Originally Posted by RIJIMMY

38 dems want to keep the bush tax cuts for all
Posted from my iPhone/Mobile device

Probably those up for reelection this November

-spence

[RIROCKHOUND]

Originally Posted by RIJIMMY

38 dems want to keep the bush tax cuts for all
Posted from my iPhone/Mobile device

got it.

[justplugit]

Originally Posted by RIROCKHOUND

Second, does the average small business make 233K? or is that the average take home of the owner? Big difference.

RRH, that is average take home pay of the owner or CEO of a small business.

[striperman36]

Originally Posted by RIJIMMY

alternative minimum tax - no loopholes, no tricks, no options. You get nailed.

Totally. it sucks

[spence]

Originally Posted by justplugit

RRH, that is average take home pay of the owner or CEO of a small business.

It's important to note that the small business owner taking home 233K in this example would still have the Bush tax cut under the Dem plan. It's only the portion of income over 250k that would be subject to the old rate.

Put into this perspective the tax plan really does only significantly impact very high earners.

-spence

[justplugit]

Originally Posted by spence

It's important to note that the small business owner taking home 233K in this example would still have the Bush tax cut under the Dem plan. It's only the portion of income over 250k that would be subject to the old rate.

Put into this perspective the tax plan really does only significantly impact very high earners.

-spence

Spence, from my understanding a person filing a single return would have
an increase if making $200,000 while those filing jointly would have an increase
if over $250,000 in income.

With most husband and wife working,and filing jointly it wouldn't take much for the small business man
averaging $233 K to reach the $250 K and that's just based on average.

In today's economy I wouldn't consider $200 K or even $250 K RICH
for the average family of 4.

[spence]

Originally Posted by justplugit

Spence, from my understanding a person filing a single return would have
an increase if making $200,000 while those filing jointly would have an increase
if over $250,000 in income.

With most husband and wife working,and filing jointly it wouldn't take much for the small business man
averaging $233 K to reach the $250 K and that's just based on average.

In today's economy I wouldn't consider $200 K or even $250 K RICH
for the average family of 4.

Yes, I was assuming a joint filing. I wouldn't consider 250k to be rich either, but that wasn't the point...it's that the increase only comes into play above that amount.

Additionally, higher wage earners (and I would consider 250k to be a higher wage earner) who pay most of the taxes are also getting the same tax cuts afforded to the middle class.

So even though the top 2% would see their top rate increase a bit, the majority of the "Middle Class Tax Cut" is still going to the top 2%. This is important because this money if not offset by spending cuts (HAHA!) contributes to the deficit right?

The biggest group to be impacted by the tax change would be those earning 500K (rich yet?) and compared to their entire liability isn't a really big % change.

-spence

[Fly Rod]

Originally Posted by spence

Yes, I was assuming a joint filing. I wouldn't consider 250k to be rich either, but that wasn't the point...it's that the increase only comes into play above that amount.

Additionally, higher wage earners (and I would consider 250k to be a higher wage earner) who pay most of the taxes are also getting the same tax cuts afforded to the middle class.

So even though the top 2% would see their top rate increase a bit, the majority of the "Middle Class Tax Cut" is still going to the top 2%. This is important because this money if not offset by spending cuts (HAHA!) contributes to the deficit right?

The biggest group to be impacted by the tax change would be those earning 500K (rich yet?) and compared to their entire liability isn't a really big % change.

-spence

Are you a CPA?

[spence]

Originally Posted by Fly Rod

Are you a CPA?

No, but I did sleep at a Holiday Inn Express last night

This is from what I've read about the proposals. There have been numerous studies done by various groups.

-spence

[striperman36]

Originally Posted by spence

It's important to note that the small business owner taking home 233K in this example would still have the Bush tax cut under the Dem plan. It's only the portion of income over 250k that would be subject to the old rate.

Put into this perspective the tax plan really does only significantly impact very high earners.

-spence

Sole Prop's are screwed any way. I don't think it's just take home. as all income is taxed, somebody who has a saole prop. chime in.

[justplugit]

Originally Posted by spence

The biggest group to be impacted by the tax change would be those earning 500K (rich yet?) and compared to their entire liability isn't a really big % change.

-spence

Remains to be seen, but this is nothing more then politics as usual.
Make it sound like the Middle Class is getting a break and pit them
against those evil rich people that create the jobs.

Back to my original question--- "Why would you want to expand your business
so you can pay more personal income tax?"

[striperman36]

Originally Posted by justplugit

Back to my original question--- "Why would you want to expand your business
so you can pay more personal income tax?"

NO, I'll hire illegals