Payroll Tax cut expires: 1k a year increase for 50k+

[HOF44]

I succumbed to the anger of the web.

That was so out of character I lol'd!!

[Special K]

Apologies

[Thiebear]

Ah.

So your theory as to why the GOP is fighting tooth and nail to prevent a 2% tax increase on "the rich", but not a 2% tax increase on "everybody else" is because the 2% payroll tax cut was supposed to be temporary?

I could have sworn that the tax cuts on the rich were supposed to be temporary, too. In fact, I could have sworn that every single time they've been extended, they've sworn that it was only temporary.

Or perhaps you're saying that the reason that were given, when the payroll tax was cut, no longer apply?

Should I point out that the reason that was given for the Bush tax cuts, was to save us from a nightmare prediction which predicted that, if we didn;t cut taxes, the entire federal debt would be paid off in 2015?

I don't think that that reason applies any more, either.

Those are pretty good points....

and though i agree anything and everythign shouls expire if it helps us get out of the Japanese like stagnation. I can't do another decade of this.

Though i'm not a 250k+ or 400k+ or 1mil+ so i'm one of the 47% of this topic.

---------- Post added December-21st-2012 at 10:44 AM ----------

Not sure this is 100% accurate: http://online.wsj.com/article/SB10001424127887324851704578131413033855182.html#project%3DFISCALCLIFF1112%26articleTabs%3Dinteractive

but nobody mentions the details of this "cliff"

Low-income people would face some of the largest tax increases in percentage terms. A single unemployed person making less than $10,000 would see his or her taxes rise 55.2%. Loss of benefits for the working poor are a big factor. Many unemployed people also face loss of extended unemployment benefits.

Average tax rate under the proposal: 8.4%

Average federal tax change: Up $159, or 55.2%

A typical single student in the $10,000-$20,000 range would face an increase of 37.9%, the second highest among all singles. Big factors include loss of education breaks, as well as loss of the payroll-tax holiday.

Average tax rate under the proposal: 7.5%

Average federal tax change: Up $308, or 37.9%

Retiree Households

Income: $30,000 - $40,000

The highest tax increase for retirees would be 42.4%, affecting those in the $30,000 to $40,000 income range. Even very high-income retirees would see a lower percentage increase. Loss of Bush-era tax rates is a big factor.

Average tax rate under the proposal: 5.1%

Average federal tax change: Up $540, or 42.4%

HUGE!

An average married couple making $20,000 to $30,000 would sees their tax go up $1,423, from receiving a $15 refund to paying $1,408. Big factors include the loss of the Bush-era 10% bracket, the loss of relief from the so-called marriage penalty and reduction of the child credit.

Average tax rate under the proposal: 5.5%

Average federal tax change: Up $1,423, or 9,809%

The highest tax increase for retirees would be 42.4%, affecting those in the $30,000 to $40,000 income range. Even very high-income retirees would see a lower percentage increase. Loss of Bush-era tax rates is a big factor.

Average tax rate under the proposal: 5.1%

Average federal tax change: Up $540, or 42.4%

WOW!!!

This group, making $100,000 to $200,000, would absorb a big share of the overall tax increase, 24.7%, and would see an average tax increase of $6,662 or 24.5%. This group also would lose protection from the alternative minimum tax, originally intended to hit very wealthy households.

Average tax rate under the proposal: 25.3%

Average federal tax change: Up $6,662, or 24.5%

others needed i wish for 350k a year.

Income: $350,000

This group would get hit by the cumulative impact of the Bush tax cuts disappearing and AMT relief going away. Investments also would be hit by higher rates on dividends and capital gains.

Average tax rate under the proposal: 29.0%

Average federal tax change: Up $13,847, or 20.3%

Income: $1 million or more

This group’s average federal tax bill would rise $254,637, or 24.2%. Yet their share of overall federal tax would go down, because the impact of the fiscal cliff on lower earners would be so great.

Average tax rate under the proposal: 39.7%

Average federal tax change: Up $254,637, or 24.2%