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Tax-bill highlights

Individual rates cut: The current tax code's 14 brackets top out at 50 percent. The bill has four brackets: 15, 25, 35, and 38 percent. For married taxpayers, the 25 percent rate applies to taxable income over $22,500; the 35 percent rate to income over $43,000; the 38 percent rate above $100,000. For single individuals, the 25 percent rate kicks in for income above $12,500; the 35 percent rate above $30,000; and the 38 percent rate above $60,000. Many popular deductions retained: Mortgage interest on both first and second homes would remain fully deductible as would state and local tax payments. Nonitemizers could continue to deduct charitable contributions but only those above $100. The two-earner deduction would be eliminated. Personal exemption increased: Boosted from the current law's $1,080 to $2,000 for nonitemizers and to an effective $1,500 for itemizers. Standard deduction raised: The deduction would be $4,800 for joint returns ($3,670 currently), $4,200 for heads of households ($2,480 currently), and $2,950 for singles ($2,480 currently). Minimum tax increased, extended: The rate would rise to 25 percent from the current 20 percent and more items would be subject to the tax. Child Care Credit Retained Income Averaging Eliminated