(November 3, 2017 at 12:04 pm)Tiberius Wrote: I expect we will pay less due to the higher deduction and the new brackets, but I haven't done any calculations. Is there a site which will estimate the changes?
My analysis so far indicates these the following -
Single filers who currently take the standard deduction and have a positive tax burden and no children will generally get a modest cut. The "higher deduction" amounts to the difference between $12,000 in the GOP plan and $10,400 (the 2017 standard deduction of $6350 + the personal exemption of $4050).
Low income people who qualify for the EITC and/or CTC to the point where they currently have no or a negative tax burden will generally see little or no change. They will not qualify for the increase in the child tax credit.
Middle income families who have children may face tax increases, depending on the number of children, and how much the loss of certain deductions such as SALT is.
People and families who currently make enough to put them in a 33% bracket or higher will generally get a nice cut due to the substantial changes in the upper brackets.
