Republican Budget Deal

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evrheel

evrheel

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https://www.rawstory.com/house-republicans-budget-bill/

The New York Times has written an outline of Republican plans for a major budget reconciliation package and it suggests seems to involve slashing money for programs that benefit low-income Americans to fund tax cuts for the wealthy and corporations.

Among other things, the Times reports that the GOP is eyeing work requirements to Medicaid that would cause an estimated 600,000 people to lose their health coverage; slashing the portion of Medicaid paid out by the federal government, thus putting an increased burden on states to fund the program; taxes on people whose offices offer free gyms; taxing all scholarship and fellowship income; ending the home mortgage tax deduction; and slapping a ten percent tariff on all imported goods, which would raise costs on consumers.

MOD EDIT TO ADD GIFT LINK TO NYT STORY —> What Republicans Could Cut to Pay for Trump’s Tax Cuts: Medicaid and More
 
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evrheel said:
https://www.rawstory.com/house-republicans-budget-bill/

The New York Times has written an outline of Republican plans for a major budget reconciliation package and it suggests seems to involve slashing money for programs that benefit low-income Americans to fund tax cuts for the wealthy and corporations.

Among other things, the Times reports that the GOP is eyeing work requirements to Medicaid that would cause an estimated 600,000 people to lose their health coverage; slashing the portion of Medicaid paid out by the federal government, thus putting an increased burden on states to fund the program; taxes on people whose offices offer free gyms; taxing all scholarship and fellowship income; ending the home mortgage tax deduction; and slapping a ten percent tariff on all imported goods, which would raise costs on consumers.
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I was looking at a few articles today, and I generally came to the conclusion I can expect a $2-4k increase on my taxes, and substantially higher prices, almost across the board. Not to mention having substantially worse ability to plan for retirement due to Medicare and ss cuts, and an expectation that federal services are not only not to be relied upon, but are in fact hostile to my communities.
 
evrheel said:
https://www.rawstory.com/house-republicans-budget-bill/

The New York Times has written an outline of Republican plans for a major budget reconciliation package and it suggests seems to involve slashing money for programs that benefit low-income Americans to fund tax cuts for the wealthy and corporations.

Among other things, the Times reports that the GOP is eyeing work requirements to Medicaid that would cause an estimated 600,000 people to lose their health coverage; slashing the portion of Medicaid paid out by the federal government, thus putting an increased burden on states to fund the program; taxes on people whose offices offer free gyms; taxing all scholarship and fellowship income; ending the home mortgage tax deduction; and slapping a ten percent tariff on all imported goods, which would raise costs on consumers.
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This will sink the value of the single largest asset (and the net worth) of most Americans. This is the Trumper elitist way of dealing with high housing costs, tanking the value of individually owned homes. Of course they won’t do anything about eliminating borrowing costs from the income statements of corporate landlords.
 
I'm not a tax expert to say the least, but didn't the first Trump tax cuts increase the standard deduction to the point that most Americans don't itemize anyway? That would seem to make the mortgage deduction moot for most people.
 
Healing said:
I was looking at a few articles today, and I generally came to the conclusion I can expect a $2-4k increase on my taxes, and substantially higher prices, almost across the board. Not to mention having substantially worse ability to plan for retirement due to Medicare and ss cuts, and an expectation that federal services are not only not to be relied upon, but are in fact hostile to my communities.
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I can’t access the linked article.
Are SS and Medicare cuts part of the package?
 
ChileG said:
I can’t access the linked article.
Are SS and Medicare cuts part of the package?
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They are probably just gutting Medicaid at this point since it’s for poor people. Too many old people vote, too many poor people don’t.
 
Enigma94 said:
I'm not a tax expert to say the least, but didn't the first Trump tax cuts increase the standard deduction to the point that most Americans don't itemize anyway? That would seem to make the mortgage deduction moot for most people.
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I think this is correct, but those tax cuts expire this year, right? I don’t know if that includes the increased standard deduction or just the rates.
 
CFordUNC said:
Whole lot of middle class folks gonna not like that mortgage interest deduction getting removed.
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For a lot of us, the increase in standard deduction made the mortgage deduction unnecessary.

This will hurt people in areas with really high housing prices which I am sure is the plan as those are mostly blue areas. The last tax cuts really hurt the people I knew in DC.

Edit: This was already discussed. Don't always read all posts before commenting. And thanks for others in pointing out that the standard deduction increase was scheduled to expire. (I had been wondering about that.)
 
Among those that matter to the regime of St. Donald of Mar-a-Lago, how many actually have a mortgage and, of those who do have mortgages, how many could instantly pay off any mortgages that they currently have without any financial pain?

How did I pay off my mortgage? When the last payment came due, I made--as usual--an on-line transfer via the bank's website. While it's a sad commentary on the dullness of my life, it really was a uniquely satisfying moment. But that's all that it was, a moment. I had been putting off replacing of our home's heating and cooling system for about three years, i.e. at the beginning of each summer refilling the A/C's freon. Every time the repairman did that, he reminded me I was throwing money away. But once my home was mortgage free, I immediately applied for a home equity loan to pay for the replacement heating and cooling system. Took me a couple of years to work the home equity loan back down to zero and it stayed there until the term expired. I currently, knock on wood, have no need for one and hope I never do again.

Moral of this boring little tale: While elimination of the home mortgage deduction will not affect me personally, it was--for a long time--a key component of my income tax strategy. But not just a "key" component, but pretty much the only one of any significance I had access to. So, of course, it is going to be sacrificed on the altar of "To those that have and from those who don't."
 
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