We're being screwed?

Thread View: net.taxes

3 messages

[T] Back to Threads [V] Tree View [G] Group Articles

3 total messages Started by Alan Michel Thu, 03 Jul 1986 06:09

#912

Author: Alan Michel
Date: Thu, 03 Jul 1986 06:09

13 lines
1189 bytes

I read somewhere (maybe USA Today) that the new tax rates are
proposed to start next July 1, but that the new rules on 
allowable deductions (whatever they may be) would start
January 1.  This sounds like they are trying to sneak in 6
months of non "revenue neutral" tax reforms.
Anyone else know anything or heard anything about this?

Kind of reminds me of our state's "temporary" income tax increase of a few
years ago that no one (in the state legislature anyway) seems to
remember was supposed to be temporary.  Who knows, maybe they will
"forget" to put the new rates into effect in July.  Extra money 
is very addicting, especially to politicians in off election
years.

Re: We're being screwed?

#916

Author: joemu
Date: Mon, 07 Jul 1986 18:33

18 lines
1583 bytes

> I read somewhere (maybe USA Today) that the new tax rates are
> proposed to start next July 1, but that the new rules on 
> allowable deductions (whatever they may be) would start
> January 1.  This sounds like they are trying to sneak in 6
> months of non "revenue neutral" tax reforms.
> Anyone else know anything or heard anything about this?
> 

This is TRUE! My latest edition of Money magazine confirms what you heard.
In fact a lot of people will actually pay MORE taxes under the "lower" rates.
(because you loose 6 months of deductions while at the old "higher" rate)
There was an example where a couple earning ~45k a year and currently paying
~32% taxes would pay ~34.5% under one proposal (house or senate) and pay
~36% under the other. It looks like a lot of us will really get screwed
the first year and the second year will be when the real benefit of the tax
reform will affect us (assuming they don't change it again next year). I can
give the exact figures from the article if someone needs them or just pick up
the magazine at the news stand.

Re: We're being screwed?

#928

Author: thomas
Date: Tue, 15 Jul 1986 22:57

14 lines
1316 bytes

Is it so surprising that some people will pay more under ANY tax change
(reform or otherwise)?  Obviously, with the government in a deficit
position, they are not going to lower taxes (except with a maniac like
RR at the helm).  So, if some pay less, some must pay more.  For
example, it appears that, depending on which version (or almagamation)
passes, we may end up paying more or less.  Exactly which, and how much
depends very heavily on the "pension" deductions (e.g., IRA, 401(k),
403(b)). In any case, assuming we decide not to make the "pension"
contributions if we will be taxed on the money, we will have more take-
home pay than before (but less retirement money).  

-- 
=Spencer   ({ihnp4,decvax}!utah-cs!thomas, thomas@utah-cs.ARPA)

Thread Navigation

This is a paginated view of messages in the thread with full content displayed inline.

Messages are displayed in chronological order, with the original post highlighted in green.

Use pagination controls to navigate through all messages in large threads.

Back to All Threads