ShortTimer
JBHIt’d be sort of funny, if taxes weren’t going up.
What taxes are going to go up? By how much?
- Income tax rates will bounce back to their 2001 levels. The lowest bracket will jump from 10% up to 15%. The highest bracket will jump from 35% up to 39.6%. Everyone should expect about a 3 percentage point increase.
- Employee-paid FICA (social security), will go back up to 6.2 percent. It’s been at 4.2 percent for the past two years. It’ll feel like the government’s giving you a big “FICA you!”
- Capital gains rates will bounce up, too. For the vast majority of taxpayers, capital gains tax rates will increase from 15% to 20%. If you make less than $8,700, capital gains rates will go from 0% to 15%, so homeless people should liquidate their appreciated assets immediately.
- The child tax credit is $1,000 per kid in 2012, but it will only be $500 per kid in 2013. The child tax credit is one way many taxpayers are able to write off their “gambling losses.”
- The standard deduction for married couples (married filing jointly) will go down, so stop dragging your feet and get that divorce, you know, for tax purposes.
More here. And some other looks at taxes here.
