Also Wondering another Tax Question
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| Tue, 10-14-2008 - 9:21pm |
Some of Bush's tax cuts are to expire in the next 2 year. How will that effect Obama's tax cuts or even McCains? Won't that make taxes still go up for everyone? I am so confused.
The central provisions of these landmark tax bills are scheduled to expire over the next five years, which means that taxes will rise dramatically for most taxpayers. Between now and January 1, 2011 (five short years away),
Tax rates will rise substantially in each tax bracket, some by 450 basis points;
Taxes on capital gains will increase, also beginning on January 1, 2009; and
Taxes on dividends will increase beginning on January 1, 2009;
Federal death taxes will come back to life in 2011, after fading down to nothing in 2010.
Married taxpayers will see the marriage penalty return;
Taxpayers with children will lose 50 percent of their child tax credits;
Low-income taxpayers will see the 10-percent tax bracket disappear, and they will have to pay taxes at the 15-percent rate;
http://www.clipmarks.com/clipmark/4BE0ADD6-8EB5-4671-A838-09E0F4DD520A/
Edited 10/14/2008 9:56 pm ET by iluvmy3sons2005


I'm worried about it also, especially in light of Obama saying he may not let them expire if we're in a recession.
Here's some information that may help answer your questions.
http://www.nytimes.com/2008/09/30/us/politics/30check.html?ex=1380427200&en=bc9e04d48fc3ecb4&ei=5124&partner=digg&exprod=digg
In his presidential platform, Mr. Obama has also proposed several measures to mitigate the impact of letting the Bush tax cuts expire. Under his plan, only individuals making $200,000 or more and families earning more than $250,000 a year, accounting for less than 2 percent of the population, would pay additional taxes, and more than 90 percent of the population would receive a tax break of some sort.
You should also check out Obama's tax plan which can explain his ideas better than I can. :-)
http://www.barackobama.com/pdf/taxes/Factsheet_Tax_Plan_FINAL.pdf
Chrissy
mom to Aidan 8/21/03
Grayson Blaine 12/30/07
As far as I've read and heard in interviews, Obama would delay rescinding the Bush tax cuts for the wealthy if the country is in a recession. However, he has no plans to extend the Bush tax cuts beyond 2010. Instead, he wants to push for his promised tax cuts for the middle class. That was what he said in a September interview on ABC's "This Week". Again, I really think you need to read his tax plan to understand what he wants to do. But obviously the economy is going to have an impact on either candidate's priorities once in office.
Chrissy
mom to Aidan 8/21/03
Grayson Blaine 12/30/07
Here's some other information that you may find useful.
http://www.barackobama.com/pdf/taxes/Tax_Plan_Comparison_FINAL.pdf
Chrissy
mom to Aidan 8/21/03
Grayson Blaine 12/30/07