A wave of tax hikes will hit American taxpayers early next year.
Monday, July 9, 2012
Now that Obamacare has passed its Supreme Court challenge, the path is now clear for 20 new related taxes to go into effect. Over the next 10 years, these new taxes will result in an additional tax burden of $500 billion. These hikes, combined with several other upcoming tax hikes, are collectively referred to as “Taxmageddon” and will begin to hit American taxpayers in January of 2013. According to a report in Business Week, the Congressional Budget Office fears the hikes along with planned spending cuts could send the economy back into recession. “It would also result in 83 percent of U.S. households facing an average $3,701 in tax increases, according to the Tax Policy Center,” Business Week reported. Whether or not Congress and …
April 17, 2012, was tax freedom day. Will changes to the tax laws push the 2013 tax freedom day much further back in the year?
Wednesday, April 18, 2012
This year, the deadline for filing 2011 taxes coincided with “Tax Freedom Day,” the day on which most Americans will have earned enough money to pay their 2012 tax bill. For 2012, taxpayers needed 107 days of income to pay federal, state and local taxes at an estimated combined rate of 29.2 percent. Americans may have earned enough money to pay this year’s taxes, but what happens in 2013 when several tax cuts expire? Experts say taxpayers may face “Taxmageddon” if Congress does not act to mitigate the impact. The Tax Foundation warns the $500 billion tax increase set to go into effect on Jan. 1, 2013, could push tax freedom day to the end of April or even later. The Foundry, part of the Heritage Network, estimates the tax bill for the …