The Trump tax plan - what it would mean to you Updated:
Bottom Line: Now that the President's back in the saddle you might have heard the President tweet out something that many of us hope that's true. During the mist of the President's weekend tweets was this one: The massive TAX CUTS/REFORM that I have submitted is moving along in the process very well, actually ahead of schedule. Big benefits to all!
It was easy to lose it in mist of a myriad of wide-reaching Presidential tweets but it's liable to be one of the most important/effectual to us. As a reminder here's what was in Trump's initial outline for tax reform that matters to you:
Three personal tax brackets rather than seven. A flat corporate tax rate. A near doubling of the standard deduction. Here are the specifics that we're aware of:
- Flat corporate rate of 15%
- Personal tax rates 10%, 25%, or 35%
- End of the 3.8% ACA tax
- Standard personal deduction of $12,000 per individual/$24,000 married
- End of the Alternative minimum tax
- End of the Estate tax
- One-time repatriation tax cut for US companies
- Limits deductions to mortgage interest and charitable giving (on the personal side)
- Investment tax levels would remain at current levels
We still don't have the income levels that would result in the three personal income thresholds. There's a lot of room for optimism if this does move forward in a meaningful way. More to come...