Bush signed Bill on Wednesday...
 

The bill Bush signed Wednesday reduces income tax rates, lowers the marriage penalty, cuts capital gains taxes and boosts the expensing allowance for small business investment. It also significantly reduces taxes on dividends -- but does not eliminate them, as Bush had requested. ( Full story )

It also boosts the child tax credit from $600 a year per child to $1,000, and Bush has ordered the Treasury Department to begin issuing checks of $400 per child to 25 million families who claimed that credit last year.

TAX CUTS AND YOU

Here are average annual savings that taxpayers with various levels of income can expect under the proposed tax measure.

$41,000 INCOME
• Single: $211
• Married couple with two children under 17: $1,208

$63,000 INCOME
• Single: $551
• Married couple with two children under 17: $1,100

$126,000 INCOME
• Single: $1,827
• Married couple with two children under 17: $3,028

$170,000 INCOME
• Single: $2,743
• Married couple with two children under 17: $3,148

(Source: AP/Deloitte & Touche)

Thanks for the info.
 

If I understand you correctly then I, being single, claiming my son should expect a $400 check sometime in the future?

That $400 coming is already back in the economy with drive showers for Father's Day. Just doing my part!!!:D

Luv-N-It - yes, that's the way it was explained to me. (I also have one child.)
My big question is on the capital gains cut. My understanding is that it is going from 20% down to 15%. I'm in the process of selling my house now, which I have not lived in for two years, so I'm going to have to pay. My question is what percentage it's going to be when I file next year. does the new rate apply immediately, or does it go into effect next year? Anyone know?

IMHO
RM, I read it is retroactive to the begining of this year you would be OK, check with pros however.

Yea I know how ya feel, I just bought a new 03' Chevy Dually, guess where mine is going:D :p :D

DON'T SPEND IT ALL YET!!!
 

According to the papers:

'Starting in the last week of July, the government will send checks to the 25 million parents who claimed a 2002 child tax credit. The automatic refunds — no phone calls or forms required — will be advance payments on their 2003 credits, in an amount equal to the increase provided by the new law up to $400 per child. '

Notice it says 'up to $400'. Not everyone will get $400. It's based on your income.

For example:

'Because of the formula for calculating the credit, most families with incomes from $10,500 to $26,625 will not benefit.'

Luv-n-It
 

Don't rejoice to soon. Gov Taft is trying to raise Ohio taxes, the jerk

Re: DON'T SPEND IT ALL YET!!!
 

Most people here are safe aren't we all under $10K @ year.:rolleyes:

If your a family in that bracket your right they better not spend it all in one place!

No help to me.
My daughter is grown and I have no investments, except for 401K pension.

Re: Luv-n-It
 

Jerk... that is saying nicely:mad:

Looks like we're in the same boat here as Iggy
But there is a bright spot- we can register our corporations in foreign countries, skip paying any US taxes,and still land mega government contracts.Now that's a plus!

:D :D :D

Iggy, the marginal rates have been dropped some more so you can't avoid being helped "some".

GLH: the child credit refund also goes away at around $107k, I believe, so don't spend it till you get it.

rainm: historically, these midyear changes (especially gains tax changes) have been retroactive to Jan1.

Re: DON'T SPEND IT ALL YET!!!
 

Nor should they. You should have to actually PAY taxes to get any $ back!

Re: Re: Luv-n-It
 

VERY Nicely.....he's terrible.....:mad: :mad:

There should be no logical explination to rasie taxes other than buearocrats spending too much doe.. Think about it.....does your income increase each year? Typically yes, that means you pay more income taxes each year. Does inflation increase each year, does the economy grow (typically) each year, do you spend more each year....so on and so forth. Each year the gov collects more and more taxes without a tax raise. Why should they increase taxes? The money they collect grows exponentially by nature....it is simply a matter of overspending....Thieves.......

THANK YOU G W BUSH!!!! Proving once again he is a man of his word....which is a refreshing change........

Allan

A4 Amen !

Re: Re: Re: Luv-n-It
 

I VOTE FOR ALLAN!!!:D :D :D

Re: Luv-n-It
 

Im still waiting to see if this guy can do anything good in office?

'cause the incoming 2004-2008 Democratic administration is gonna close that loophole as soon as they can.
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Dream On AND a History Lesson here Plus------------------->
Do not make me Laugh the only reason Bent Bill got elected was because of that Sawed off little Gypsy Thief Ross Perot siphoned over 19% if the vote. Got it ???:D

Plus it's not your or Dasholes frickin Money it belongs MORE to the guy who made it!

Yup.....

I never did understand why people think that if you make a good living you somehow owe somebody something.....

I'm sure Abe, George, Thomas and the others CERTAINLY had welfare and out of control bueracratic spending in mind when they founded this great nation......:rolleyes: :rolleyes: :rolleyes: