Will the New Tax Bill Impact You and the Economy?
It looks like the House and Senate have reached agreement on a potentially historic new tax bill. The vote could come this week on this far-reaching tax bill. The question on many people’s minds is: “Will this new tax bill be good for the economy and good for me?” Let’s take a look at some of the provisions of this new tax bill and think about the implications.
How Does the New Tax Bill Impact Individuals and Families?
Here are some of the key provisions of the Tax Cuts and Jobs Act for individuals and families:
- Increases the standard deduction for single taxpayers from $6,500 to $12,000 and for married taxpayers from $13,000 to $24,000
- Permits the deduction of state and local income, property, and sales taxes up to a $10,000 limit
- Increases the child tax credit from $1,000 to $2,000
- Keeps the mortgage interest deduction for existing mortgages
- Eliminates the Obamacare individual mandate tax penalty
How Does the New Tax Bill Impact Businesses?
Some of the provisions of the Tax Cuts and Jobs Act that affect businesses include:
- Lowers the corporate tax rate from its current high rate of 35% down to 21% effective January 1, 2018
- Permits immediate full-cost write-offs for new equipment for enhancements to operations for businesses
- Preserves the Research and Development (R&D) tax credit to encourage “Made in America” innovations for both products and services
- Preserves low income housing tax credit to help create affordable housing
- Eliminates incentives for corporations to move jobs, headquarters, and research overseas. It helps to keep jobs in America.
The corporate tax rate of 35% has been the highest corporate tax rate in the industrialized world before this proposed tax cut. That high tax rate was a substantial drag to our economy’s economic growth. The reduction of the corporate tax rate to 21% will lead to future growth in jobs, in the economy, and even in tax revenues.
Is there an Impact on Energy Development in the New Tax Bill?
Yes, the Tax Cuts and Jobs Act also opens up the Arctic National Wildlife Refuge (ANWR) for reasonable energy exploration. This means more energy-related jobs in Alaska and throughout the energy supply chain. It also means an estimated $1 Billion in additional tax revenues from oil revenues over a ten year period. ANWR exploration also enhances America’s energy independence and security.
Excitement Continues to Build for “More Great News for America”
A new book “More Great News for America” by Dr. Lameiro on polling, political forecasts, the upcoming Congressional elections, and key political issues and developments is coming soon! Importantly, Dr. Lameiro’s new book will answer the questions:
- Why were the 2016 presidential election polls so wrong and misleading?
- Why were Dr. Lameiro’s presidential election models, trends, predictions, and forecasts so accurate?
- What will happen to American political parties in the next few years?
- What will happen with the important political issues we face today?
- What will happen in the upcoming Congressional elections?
History is taking place right before our eyes. Get a front row seat by reading “More Great News for America.”
Coming in late January 2018.