Dumbass Republicans Preemptively Surrender On Tax Increases

Quote from AAAintheBeltway:

I know this is a little complicated, but the republicans should have been hammering this for months. The message is simple, a vote for obama is a vote to repeal ALL the Bush tax rates.

I really don't see how republicans can have any credibility if they go along with a partial repeal. They should be finished as a party if they do that.
More...
I agree. They need to not blink before the election. After the election there is plenty of time to re-asses their position if the vote goes heavily against them. But, I don't see that happening and they need to call the Democraps bluff. NO TAX INCREASES FOR ANYONE.
 
Quote from Lucrum:

Sunday will mark the start of the 100-day countdown to “Taxmageddon” – the
date the largest tax hikes in the history of America will take effect. They
will hit families and small businesses in three great waves on January 1,
2013:

First Wave: Expiration of 2001 and 2003 Tax Relief

In 2001 and 2003, the GOP Congress enacted several tax cuts for small
business owners, families, and investors (later re-upped by President Obama
and Democrat Congress in 2010). The following tax hikes will occur on
January 1, 2013:

Personal income tax rates will rise on January 1, 2013. The top income tax
rate will rise from 35 to 39.6 percent (this is also the rate at which the
majority of small business profits are taxed). The lowest rate will rise
from 10 to 15 percent. All the rates in between will also rise. Itemized
deductions and personal exemptions will again phase out, which has the same
mathematical effect as higher marginal tax rates. The full list of marginal
rate hikes is below:

-The 10% bracket rises to a new and expanded 15%

-The 25% bracket rises to 28%

-The 28% bracket rises to 31%

-The 33% bracket rises to 36%

-The 35% bracket rises to 39.6%

Higher taxes on marriage and family coming on January 1, 2013. The
“marriage penalty” (narrower tax brackets for married couples) will return
from the first dollar of taxable income. The child tax credit will be cut
in half from $1000 to $500 per child. The standard deduction will no longer
be doubled for married couples relative to the single level.

Middle Class Death Tax returns on January 1, 2013. The death tax is
currently 35% with an exemption of $5 million ($10 million for married
couples). For those dying on or after January 1 2013, there is a 55 percent
top death tax rate on estates over $1 million. A person leaving behind two
homes and a retirement account could easily pass along a death tax bill to
their loved ones.

Higher tax rates on savers and investors on January 1, 2013. The capital
gains tax will rise from 15 percent this year to 23.8 percent in 2013. The
top dividends tax will rise from 15 percent this year to 43.4 percent in
2013. This is because of scheduled rate hikes plus Obamacare’s investment
surtax.

Second Wave: Obamacare Tax Hikes

There are twenty new or higher taxes in Obamacare. Some have already gone
into effect (the tanning tax, the medicine cabinet tax, the HSA withdrawal
tax, W-2 health insurance reporting, and the “economic substance
doctrine”). Several more will go into effect on January 1, 2013. They
include:

The Obamacare Medical Device Tax begins to be assessed on January 1, 2013.
Medical device manufacturers employ 409,000 people in 12,000 plants across
the country. This law imposes a new 2.3% excise tax on gross sales – even
if the company does not earn a profit in a given year. Exempts items
retailing for <$100.

The Obamacare Medicare Payroll Tax Hike takes effect on January 1, 2013.
The Medicare payroll tax is currently 2.9 percent on all wages and
self-employment profits. Starting in 2013, wages and profits exceeding
$200,000 ($250,000 in the case of married couples) will face a 3.8 percent
rate.

The Obamacare “Special Needs Kids Tax” comes online on January 1, 2013.
Imposes a cap on FSAs of $2500 (now unlimited). Indexed to inflation after
2013. There is one group of FSA owners for whom this new cap will be
particularly cruel and onerous: parents of special needs children. There
are thousands of families with special needs children in the United States,
and many of them use FSAs to pay for special needs education. Tuition rates
at one leading school that teaches special needs children in Washington,
D.C. (National Child Research Center) can easily exceed $14,000 per year.
Under tax rules, FSA dollars can be used to pay for this type of special
needs education. This Obamacare cap harms these families.

The Obamacare “Haircut” for Medical Itemized Deductions goes into force on
January 1, 2013. Currently, those facing high medical expenses are allowed
a deduction for medical expenses to the extent that those expenses exceed
7.5 percent of adjusted gross income (AGI). The new provision imposes a
threshold of 10 percent of AGI. Waived for 65+ taxpayers in 2013-2016 only.

Third Wave: The Alternative Minimum Tax and Employer Tax Hikes

When Americans prepare to file their tax returns in January of 2013,
they’ll be in for a nasty surprise—the AMT won’t be held harmless, and many
tax relief provisions will have expired. These tax increases will be in
force for BOTH 2012 and 2013. The major items include:

The AMT will ensnare over 31 million families, up from 4 million last year.
According to the left-leaning Tax Policy Center, Congress’ failure to index
the AMT will lead to an explosion of AMT taxpaying families—rising from 4
million last year to 31 million. These families will have to calculate
their tax burdens twice, and pay taxes at the higher level. The AMT was
created in 1969 to ensnare a handful of taxpayers.

Full business expensing will disappear. In 2011, businesses can expense
half of their purchases of equipment. Starting on 2013 tax returns, all of
it will have to be “depreciated” (slowly deducted over many years).

Taxes will be raised on all types of businesses. There are literally scores
of tax hikes on business that will take place. The biggest is the loss of
the “research and experimentation tax credit,” but there are many, many
others. Combining high marginal tax rates with the loss of this tax relief
will cost jobs.

Tax Benefits for Education and Teaching Reduced. The deduction for tuition
and fees will not be available. Tax credits for education will be limited.
Teachers will no longer be able to deduct classroom expenses. Coverdell
Education Savings Accounts will be cut. Employer-provided educational
assistance is curtailed. The student loan interest deduction will be
disallowed for hundreds of thousands of families.

Charitable Contributions from IRAs no longer allowed. Under current law, a
retired person with an IRA can contribute up to $100,000 per year directly
to a charity from their IRA. This contribution also counts toward an annual
“required minimum distribution.” This ability will no longer be there.

Posted by Ryan Ellis on Friday, September 21, 2012 10:19 AM EDT

Read more: http://atr.org/days-taxmageddon-a7203#ixzz278C9xKzk
More...
That really sucks because I'm making an early withdrawal from my IRA first business day of next year to fund my trading account.

Guess the only logical thing to do is try to keep income under 200K.
 
Quote from PHOENIX TRADING:

That really sucks because I'm making an early withdrawal from my IRA first business day of next year to fund my trading account.

Guess the only logical thing to do is try to keep income under 200K.
More...
Not to worry, though. If you get close you can always donate to the PSPR Charitable Society to keep taxable income under $200k. :D

If you've got a 401k you can loan the money to yourself and avoid the penalty and taxes. I don't think you can do that with an IRA though.
 
Quote from PHOENIX TRADING:

That really sucks because I'm making an early withdrawal from my IRA first business day of next year to fund my trading account.

Guess the only logical thing to do is try to keep income under 200K.
More...

Yeah you wouldn't want to make 300g and pay that extra 4% tax it wouldn't be worth it.
 
Quote from bigarrow:

Yeah you wouldn't want to make 300g and pay that extra 4% tax it wouldn't be worth it.
More...
That's correct.(in general it's more like an absolute 5% higher marginal rate) for anything over apx AGI 180k as a single filer.

Then as you go past 200k you start hitting those tripwire booby traps set by obama additional .9% medifraud

geez I thought you were supposed to have a high IQ.
 
Quote from PHOENIX TRADING:

That's correct.(in general it's more like an absolute 5% higher marginal rate) for anything over apx AGI 180k as a single filer.

Then as you go past 200k you start hitting those tripwire booby traps set by obama additional .9% medifraud

geez I thought you were supposed to have a high IQ.
More...

OK genius stop making money if you get close to paying more taxes.
 
Quote from bigarrow:

OK genius stop making money if you get close to paying more taxes.
More...
You obviously don't seem to grasp the situation.

It's not a matter of stopping making earnings or trading profits, it's a matter of how much to take out of the IRA without unnecessarily paying the higher marginal rate & penalties.


geez your ignorance is astounding.
 
Quote from PHOENIX TRADING:

You obviously don't seem to grasp the situation.

It's not a matter of stopping making earnings or trading profits, it's a matter of how much to take out of the IRA without unnecessarily paying the higher marginal rate & penalties.


geez your ignorance is astounding.
More...

That isn't what you said quote " Guess the only logical thing to do is try to keep income under 200K."
But do keep the insults coming if it makes you feel better. I'm not one to put someone on ignore.
 
Quote from bigarrow:

That isn't what you said quote " Guess the only logical thing to do is try to keep income under 200K."
But do keep the insults coming if it makes you feel better. I'm not one to put someone on ignore.
More...

Yes and the optimal strategy for doing that is NOT taking too much out of the qualified plan.

What part of that do you not get?
 
You must log in or register to reply here.
Back
Top