New tax rules

lovingit

Member
2017 will be the last time we can take multiple personal exemptions.  For most people who have a family, $4050 per dependent is huge.  I know they doubled the standard deduction but for most people who itemize, this isn?t going to matter.  Anyone else upset about the personal exemptions completely going away?
 
I already did my taxes and my CPA has a program that runs your current taxes with next years rules. I got a substantial cut, I think others will find that they will too. Winning!!.
 
morekaos said:
I already did my taxes and my CPA has a program that runs your current taxes with next years rules. I got a substantial cut, I think others will find that they will too. Winning!!.

You must not have kids and take the standard deduction?
 
lovingit said:
2017 will be the last time we can take multiple personal exemptions.  For most people who have a family, $4050 per dependent is huge.  I know they doubled the standard deduction but for most people who itemize, this isn?t going to matter.  Anyone else upset about the personal exemptions completely going away?

The child tax credit replaces it.  I don't know your tax bracket, but the personal exemptions were saving you between $1,000-$1,400 per child.  The child tax credit saves you $2,000 per child.  Which would you rather have?
 
My guy had done quite a few returns already for some fairly significant clients.  He told me only a handful of them saw a hike under the new rules, and the increase was nominal at best.  I was shocked because this is the state where I expected some substantial hikes due to the inability to write off the state a local taxes.... I was wrong. If this holds true for the rest of the nation I think this will be a significant cut for most everyone.  Winning!!
 
Liar Loan said:
lovingit said:
2017 will be the last time we can take multiple personal exemptions.  For most people who have a family, $4050 per dependent is huge.  I know they doubled the standard deduction but for most people who itemize, this isn?t going to matter.  Anyone else upset about the personal exemptions completely going away?

The child tax credit replaces it.  I don't know your tax bracket, but the personal exemptions were saving you between $1,000-$1,400 per child.  The child tax credit saves you $2,000 per child.  Which would you rather have?

Isn?t it $4050 per dependent including children?  So if you had two kids in a family of four, that?s $16,200 total in personal exemptions.  I?m not sure where you are getting $1000-$1400 ?
 
freedomcm said:
math i would guess. 

30% of $4050 is $1350, which is less than $2000

Yes, exactly.  The personal exemptions lower your taxable income, so in effect they save you money at the rate of your tax bracket.  The new child tax credits are a straight $2,000 reduction in the taxes you pay (it's a credit not a reduction in your taxable income). 

So are you still upset about the personal exemptions going away?
 
morekaos said:
It's all in the marketing, look at the real dollars and it makes a lot of sense.

Here's what Trump's tax plan means for people at every income level from $20,000 to $269,000 a year

http://www.businessinsider.com/trump-tax-plan-senate-take-home-pay-changes-every-income-level-2017-12

WTF is this article. I don't care to scroll 100 times through each average job salary. Just show me a table of income levels! Plus this article is terrible as there are no cookie cutter tax situations. Some people have a lot of itemized deductions, some don't.
 
Back
Top