3 ms·
More kids results in less "tax benefit"... is that correct/intentional?
by Tempest1981 9y ago
More kids results in less "tax benefit"... is that correct/intentional?
- pkaye 9y agoI think it is because the exemptions are eliminated. Of course I don't know how accurate this calculator is but if you enter my assumptions above for a typical middle class family of 2 kids and $60k income, nearly every state has higher taxes.
- kthejoker2 9y agoThere's no way this calculator is accurate. Take A married couple with 2 kids with $60k AGI, all W2. Filing in 2017, standard deduction: 60k - 12.7k deduction - 16.2k exemption = 31.1 taxable income, with ladder rates that's $3,733 - $2,000 in child tax credits for $1,733. Filing in 2017 with a 24,000 (!! out of 60k!) itemized deduction to match the new standard deduction: 60k - 24k deduction - 16.2k exemption = 19.8k taxable income, ladder rates make it $2,038 - $2,000 in tax credits for a grand total of $38 in taxes owed. Current Senate proposal: 60k - 24k standard deduction = 36k taxable income, with proposed ladder rates that's $3,939 - $4,000 child tax credits, you owe $0. Hard to see a scenario where: a) a 60k family is itemizing that much, and b) the child tax credit doesn't significantly increase.