I see everyone writing we lost all itemized job expenses. This is wrong. For federal purposes, you can no longer claim an itemized deduction for job expenses and certain miscellaneous deductions that were subject to the 2 percent of FAGI limitation. For New York purposes (Form IT-196, lines 21 through 24), you can claim these deductions. This is per the state you file in.

 

Yeah that was all covered earlier - there are like only 8 states that allow that: AL, AR, CA, HI, IA, MN, NY or PA

 

It doesn't matter anyway because the personal mandate (the tax for not having it) is gone.

 

For 2019 yes. Still active in 2018. So it will apply to the tax return.

 

The state legislature votes each year to either 'Conform' to the federal code or not. Minnesota has historically either NOT conformed (done their own thing, sometimes good, sometimes bad), or conformed so late in the game that it requires you to file an amended return if you've already submitted.

Being in a "Non-conforming" state may actually be beneficial IF you itemize AND IF they kept last years deduction rules. Ultimately it all boils down to 'Effective Tax Rate'.

 

Refunds don’t matter. How much tax did you pay? What was your effective tax rate?

My AGI this year was almost identical to last year. I paid $13k LESS in taxes. My effective tax rate went down from 27% to 22%.

Thank you Trump for putting more food on my table. MAGA

 

Your comments on the effective rate vs refund are correct. Nevertheless, I'm pretty concerned about adding to the federal budget deficit. AND if we are getting political on the Forum: America has never ceased to be great. OFG

 

That has nothing whatsoever to do with tax cuts. We're collecting record tax revenues anyway, its the spending that's out of control. We're at 2.5X W's first budget. No one can say no to anything, and we're about to publicly invite anyone on the planet who wants benefits to come and get them oh and FYI we are the 1%.

 

Less money in. Same spending. Deficit increases. Have to borrow $ to pay all expenses. Debt increases.

It absolutely has to do with tax cut.

Trickle down is a myth.

 

Tax reciepts are 3.2T (2018) but we're spending around 4.2T. W's first full budget was 1.8T. He doubled the debt and Obama doubled it again. Trump has increased it 10% so far and will increase it further no doubt.

The 35% corporate tax cut was a joke. It was being avoided very agressively. Cutting it to 21% was absolutely necessary. There's nothing "trickle" about letting the vastly superior free market (when its not being poisioned with Freddie and Fannie and all the other bright idea "programs" etc), individuals and businesses of all size thrive over command and control government edict fantasies that only work in the schoolhouse and not very well even there.

When taxes are insanely high (like the socialist fantasies of 70-90%) no one pays them and the economy suffers. Reagan slashed the top marginal rate and revenues increased in his 8 years.

Taxing yourself into prosperity is a myth.