The Hill: Tax Committee Report: Much Of Tax Law's Pass-Through Benefit Goes To The Wealthy
A new report released yesterday by the Joint Committee on Taxation is further proof of what we’ve been saying all along: the GOP tax law is a giveaway to the wealthy. The report found that President Trump’s deduction for owners of “pass through” businesses will benefit the wealthiest Americans – giving 44% of the tax break to the top 1% of these tax filers, those reporting $1 million or more in pass through income. That’s an average tax cut of $89,000 just this year for millionaires. Read the highlights from The Hill:
“Much of the tax benefit from the new tax law's deduction for pass-through businesses will go to wealthy individuals, according to a Joint Committee on Taxation report released Monday.”
“About 44 percent of the tax benefit from the deduction will go to those with an income of $1 million or more in 2018, and 52.4 percent of the benefit will go to those with income in that range in 2024, the congressional tax scorekeeper estimated.”
“The tax law provides a new 20 percent deduction for income from pass-through businesses, which are businesses taxed through the individual code on their owners' returns.”
“The Joint Committee on Taxation released new tables…The tables also show that fewer people would take the deductions for mortgage interest and state and local taxes under the new law, particularly if they are not high earners. The new tax law places new limits on those deductions and also increases the standard deduction, making it less likely that taxpayers will take itemized deductions.”
“About 44 percent of the tax benefit from the deduction will go to those with an income of $1 million or more in 2018, and 52.4 percent of the benefit will go to those with income in that range in 2024, the congressional tax scorekeeper estimated.”
“The tax law provides a new 20 percent deduction for income from pass-through businesses, which are businesses taxed through the individual code on their owners' returns.”
“The Joint Committee on Taxation released new tables…The tables also show that fewer people would take the deductions for mortgage interest and state and local taxes under the new law, particularly if they are not high earners. The new tax law places new limits on those deductions and also increases the standard deduction, making it less likely that taxpayers will take itemized deductions.”