Every Taxpayer wins....

[j]

....with Bush signing Jobs and Growth Paln into Law

President Bush signed his jobs and economic growth plan into law on Wednesday - delivering substantial tax relief to 136 million American taxpayers and 1,169,000 taxpayers in South Carolina.

The tax relief that starts in July of this year will inject billions into the economy, creating jobs and spurring investment. Here is how you and millions of Americans win with the President's jobs and growth law in South Carolina:


1,169,000 taxpayers in South Carolina will see lower income tax bills this year.

373,000 married and single parents in South Carolina will receive a $400 check in the mail because of the increase in the child credit.

862,000 low income married couples and single filers in South Carolina will receive tax relief by moving to the 10% tax bracket.

455,000 married couples in South Carolina will get a boost from the marriage penalty relief in the new law.
Upon signing the bill the President said, "This combination of income tax rate reductions, a higher child credit and a reduction in the marriage penalty will make a difference for families in every part of this country ... A family of four with an income of $40,000 will see their income taxes drop from $1,178 to $45, a 96 percent tax cut."

[hunter84]

While I agree with the tax cuts being a good thing and hopefully spurring the economy, I don't think the rebate is as good idea. A few years(2or3) Mn sent rebate checks to all tax payers because there was a surplus,now we are cutting funding back to just about everything because of the deficit it is in.
everyone likes to see taxes cut but that could lead to more cut backs in funding for programs even further. JMHO

[streetsoldier]

hunter84, I see this as a wake-up call for the states to "clean up their acts"...too much "pork-barrel" and/or entitlement spending has been going on for far, far too long.

FI, here in MO, our fearless Governor, the Honorable (?) "SpongeBob" Holden, is NOT cutting the waste where it IS...in big labor, environmental and teacher's lobbies...but rather taking the funds from people who NEED them...mental health and social services.

Let the chips fall, IMHO.

[Stephanie]

To me, that's where the majority of the tax cuts end up hurting the most - the services that are really needed.

It's nice to get the lower tax - I hope it does help boost the economy but I don't think it'll be the big kick in the butt it needs to get rolling again.

It was good to read the the GNP was up finally over last month I believe by ovet 1% and the new jobless claims have actually decreased per the reports that came out this week. Hopefully this trend will continue.

[blizzard]

....

455,000 married couples in South Carolina will get a boost from the marriage penalty relief in the new law.
Upon signing the bill the President said, "This combination of income tax rate reductions, a higher child credit and a reduction in the marriage penalty will make a difference for families in every part of this country ... A family of four with an income of $40,000 will see their income taxes drop from $1,178 to $45, a 96 percent tax cut."

I am having a hard time trying to figure out how a family of four with income of $40,000 only paid $1178 in taxes. they must have some wicked deductions. that is an actual tax rate of 2.75% I want that kind of tax rate instead of the 14.28% actual rate that I have been robbed of.

[Rainband]

I would like it better if everyone got a check!

[firefighter16]

Echo here Blizzard.

[coriolis]

In reply to Blizzard and firefighter, I made a little more than that figure and paid essentially no taxes because of the dependent tax credit. We have 4 kids and my Mother-in-law living with us. That's 5 dependents. The deductions come off of your income, but the tax credit is deducted off of the tax you owe. We didn't even itemize. I work with a guy who has 9 (count 'em) kids. Not only did he pay no taxes, he got a hefty "refund," which means that the gov't paid him. I have a problem with people that say the tax cuts benefit only the "rich." In many cases the "rich" are the only ones paying much tax. I've heard statistics thrown around that are something like: the top 10% of the taxpayers pay 90% of the total tax dollars. My numbers are probably off, but you get the idea. Of course single or childless people do pay taxes, but their expenses are less. I don't want to start an argument about fairness, I'm just trying to answer your question.

[Stephanie]

In reply to Blizzard and firefighter, I made a little more than that figure and paid essentially no taxes because of the dependent tax credit. We have 4 kids and my Mother-in-law living with us. That's 5 dependents. The deductions come off of your income, but the tax credit is deducted off of the tax you owe. We didn't even itemize. I work with a guy who has 9 (count 'em) kids. Not only did he pay no taxes, he got a hefty "refund," which means that the gov't paid him. I have a problem with people that say the tax cuts benefit only the "rich." In many cases the "rich" are the only ones paying much tax. I've heard statistics thrown around that are something like: the top 10% of the taxpayers pay 90% of the total tax dollars. My numbers are probably off, but you get the idea. Of course single or childless people do pay taxes, but their expenses are less. I don't want to start an argument about fairness, I'm just trying to answer your question.

I have a little bit of a problem with giving "refunds" to people that can't claim the full tax credit for their dependents. To me, I think that it should be that the tax credit should be allowed but up to the point where you then don't owe taxes. It's like we're paying people to have children /dependents - not that it's a bad thing to want to have children or care for someone else, but the refund is on a tax that wasn't paid to begin with!

[coriolis]

I agree with you Steph. Someone shouldn't get back more than they put in. Personally, I came very close to breaking even.

[blizzard]

I can understand it in your case Coriolis, but with two children? I have two and my taxes are still wicked and I itemize a pretty hefty amount. Small business, mortgage, prop. tax and all. I still wish my taxes were only 2% or less....lol never happen guess.

[coriolis]

Hmm, Blizzard. Are you self employed? I am no expert, I just let H&R block do it. We had 7 exemptions, plus the standard deduction, which knocked the taxable income down pretty good. The tax credit is $600 per child, so that took $2400 off the taxes I owed. I know that when the refund came in it was a case of "abra cadabra, watch it disappear."