GOP/TAXES: “Republican plans to overhaul the U.S. tax code will affect families differently, based on their locations, incomes, deductions, dependents and other factors.
The top 1% of households, for example, would get a 2.4% boost in after-tax income from the House bill in 2018, compared with 1.6% for the whole population, according to the Tax Policy Center. But within that group and others, outcomes vary significantly. Among the top 1%, for example, 80% would get tax cuts averaging $64,210 and 20% would get tax increases averaging $40,720.
Who wins and who loses depends on how various provisions apply to individual circumstances. Repeal of the deduction for state and local income taxes—a feature of bills in the House and the Senate—could hit households in high tax states such as New York, New Jersey or California. Repealing the deduction for medical expenses—a feature of the House bill—could hit families with high out-of-pocket medical expenses.
This all makes it challenging to assess winners and losers in the tax overhaul making its way through Congress.”
-Jon Hilsenrath, “How Households Win and Lose in the House Tax Bill,” The Wall Street Journal online, Nov. 30, 2017 09:54am