28 Apr 17
Originally posted by no1marauderRate on a scale of 0-100 the percentage chance of such a plan being enacted this year.
[b]Matter of fact we will be taking all deductions out other than mortgage interest and charitable donations,
I wonder what will happen when people realize that would mean their contributions to 401(k)s and IRAs would no longer be tax deferred.
Rate on a scale of 0-100 the percentage chance of such a plan being enacted this year.[/b]
Based on Trump's performance so far, my rating would be about -8.
29 Apr 17
Originally posted by LundosNot more tax breaks!
Trump and his staff are on their way with a new tax plan.
What should we expect from it?
Personally I think this is why he entered politics, so I expect tax cuts for the wealthy and every corporate business model that Trump or his family have invested in or directly own.
God help us, the US might start running trillion dollar deficits now! 😲
29 Apr 17
Originally posted by no1marauderThe White House clarified that 401(k)s wouldn't be affected because they aren't technically "deductions" because you don't declare them as such on your 1040. That's a bit dubious since the amount you contribute is deducted from your gross income by your employer, but whatever. Nothing was said about IRA contributions (which are deducted on your 1040) but the total money in IRAs is only a fraction of what it is in 401(k)s and most of that is "rollovers" from the latter.
[b]Matter of fact we will be taking all deductions out other than mortgage interest and charitable donations,
I wonder what will happen when people realize that would mean their contributions to 401(k)s and IRAs would no longer be tax deferred.
Rate on a scale of 0-100 the percentage chance of such a plan being enacted this year.[/b]
29 Apr 17
Originally posted by no1marauderBummer. I have only IRA's. Sounds like the deduction for mortgage insurance is out too, but I wonder if they'll keep it because it is related to the mortgage.
The White House clarified that 401(k)s wouldn't be affected because they aren't technically "deductions" because you don't declare them as such on your 1040. That's a bit dubious since the amount you contribute is deducted from your gross income by your employer, but whatever. Nothing was said about IRA contributions (which are deducted on your 1040) but ...[text shortened]... RAs is only a fraction of what it is in 401(k)s and most of that is "rollovers" from the latter.
30 Apr 17
And I also wonder if an unintended result of making standard deductions large enough to make itemizing your mortgage interest moot is going to undermine the chief financial advantage of buying a house, thereby weakening the entire housing market, which is bad for banks. Somebody somewhere must be worried about that, no? If there's one thing we should all know, it's that destabilizing the housing market is bad.