Tax bill

[CRedskinsRule]

Originally Posted by mooby

Everyone knows when you give huge tax cuts to corporations, they reinvest those savings into hiring more workers to boost the economy Matty. Quit being so pessimistic. Whereas if you take money and put it in the hands of the struggling workers, they just sit on it and don't spend it at all.

just a note, you realize that the refundable part of the child tax credits went up in this right? meaning a mother who has two children and 0 tax liability will still see her tax refund go up by nearly $1500. I don't know the exact number so if I'm high or low I am sorry, but the point is that the new tax bill does put money in the hands of those all along the scale. But honestly unless you simply believe in pure redistribution (socialism) if a taxpayer pays $0 in income tax, they are not going to get the same benefit from tax reform as someone who is paying $100,000 in taxes.

Again though, even the mere point of the argument is so outside of the reality that nearly everyone is going to see more take home cash this year vs. last that it's sad our system of political discourse is too broke to acknowledge that.

[over the mountain]

Originally Posted by CRedskinsRule

just a note, you realize that the refundable part of the child tax credits went up in this right? meaning a mother who has two children and 0 tax liability will still see her tax refund go up by nearly $1500. I don't know the exact number so if I'm high or low I am sorry, but the point is that the new tax bill does put money in the hands of those all along the scale. But honestly unless you simply believe in pure redistribution (socialism) if a taxpayer pays $0 in income tax, they are not going to get the same benefit from tax reform as someone who is paying $100,000 in taxes.

Again though, even the mere point of the argument is so outside of the reality that nearly everyone is going to see more take home cash this year vs. last that it's sad our system of political discourse is too broke to acknowledge that.

1 - where are you seeing that a parent with 0 tax liability will actually get a refund for child tax credits? What I read is that it is a credit and not refundable but Im not sure if that is for 2017 taxes or 2018.

2 - My bone to pick is with the hypocrisy of it all. The temporary 7 year reduction in fed taxes is some kind of shiny dangling object to distract us from the fact that we will actually be paying more in taxes after 7 years and we will have to cut major programs like medicaid, medicare, social security, infrastructure, education, fed programs to pay for this permanent corporate and top 2% windfall.

I dont need the extra $20 every 2 weeks if I am just going to have to pay it back in 7 years and we have to make major fed program cuts.

Seems like some sleazy car salesman saying they will pay for the first months payment ... never mind the fact that we are overpaying for the car to begin with.

[CRedskinsRule]

Originally Posted by over the mountain

1 - where are you seeing that a parent with 0 tax liability will actually get a refund for child tax credits? What I read is that it is a credit and not refundable but Im not sure if that is for 2017 taxes or 2018.

2 - My bone to pick is with the hypocrisy of it all. The temporary 7 year reduction in fed taxes is some kind of shiny dangling object to distract us from the fact that we will actually be paying more in taxes after 7 years and we will have to cut major programs like medicaid, medicare, social security, infrastructure, education, fed programs to pay for this permanent corporate and top 2% windfall.

I dont need the extra $20 every 2 weeks if I am just going to have to pay it back in 7 years and we have to make major fed program cuts.

Seems like some sleazy car salesman saying they will pay for the first months payment ... never mind the fact that we are overpaying for the car to begin with.

1-
https://www.forbes.com/sites/kellyph.../#2caba5774205

Under tax reform, part of the Child Tax Credit remains nonrefundable but the "old" Additional Child Tax Credit, which was refundable, has essentially been merged into the new credit. I know that sounds confusing but what it means is that the Child Tax Credit is just one credit worth up to $2,000 per child and includes a refundable piece of up to $1,400 per child. To be clear, the $1,400 refundable piece is included as part of the $2,000 Child Tax Credit and is not an additional credit (unlike before).

A refundable credit means that you can take advantage of the credit even if you do not owe any tax. Unlike with a nonrefundable credit, if you don't have any tax liability, the "extra" credit is not lost but is instead refunded to you. To claim the refundable portion, you must have earned income (generally, wages, salary, tips, and net earnings from self-employment). For purposes of the new Child Tax Credit, the refundable portion is equal to 15% of your earned income which exceeds $4,500 up to the maximum credit.

This is what I was talking about, but if I am misstating it, I apologize

2- I guess I don't believe 7 year forecasts, never have. Maybe the Congress needs to cut back spending some, maybe tax revenue goes up more then projections, but I highly doubt that in 7 years the Congress of 2024 is going to do a major roll back of taxcuts.

3- I love that people don't care about an extra $20 dollars. I can tell you I don't pick up pennies anymore, but $20 is gas for the week, or the money I send to my daughter's school every week to pay for trip fees and other bills. Is it life changing, for me no - but for a single parent that works hard and still struggles to make ends meet - it is not nothing.