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Here’s how much money companies stashed overseas in 2016

“These 366 companies collectively maintained more than 9,750 tax haven subsidiaries, and the 30 companies with the most money stashed overseas operated more than 2,210 offshore divisions, according to the study” reports foxbusiness.com. Only 58 of the 366 companies with money offshore officially disclose what they would pay in U.S. taxes if they brought that money back onshore.Some of the most popular destinations included the Cayman Islands and Bermuda, where more than half of companies with tax haven subsidiaries maintained an outpost.These companies owe $240 billion in additional federal taxes,…

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GOP budget that’s key to taxes moving ahead in Senate

“There was “lots of talk” about the tax plan, Heitkamp said Tuesday, but “I still don’t know what it is.”” reports foxbusiness.com. Even most economists sympathetic to arguments that tax cuts boost the economy don’t claim they fully pay for themselves, however.The Senate is moving ahead on a Republican budget plan, a critical step in President Donald Trump and the party’s politically imperative drive to cut taxes and simplify the IRS code.Once the budget plan passes through the GOP-controlled Congress, the House and Senate can then advance a follow-up tax…

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Trump’s tax package is shrinking before the fight has even begun

“Thad Cochran (R-Miss.), Senate Republicans will try this week to adopt a budget that allows the party to cut taxes by $1.5 trillion” reports washingtonpost.com. Jared and Ivanka on Monday hosted a dinner for Senate Democrats to discuss a tax overhaul.When a person dies with a substantial collection, his or her estate may have to sell the artwork quickly in an estate sale to raise cash to pay the current 40 percent estate tax…Securing the votes — assuming House Republicans then follow suit and accept the Senate version — makes it more…

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Cut SALT from the GOP tax reform diet

“Perhaps unknowingly, residents of low-income tax states have been subsidizing wealthy residents of high-income tax states for years through the federal tax code” writes Washington Examiner for washingtonexaminer.com. The culprit is the state and local tax deduction, often referred to as the SALT deduction, even though sodium has nothing to do with it.Democrats, desperate to attack the GOP tax framework from any angle they can find, claim the SALT deduction is crucial for low-income families.In fact, it’s arguably the biggest handout in the tax code for high-income earners. Source: washingtonexaminer.com Share…

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Trump’s Top Economist Says Corporate Tax Cuts Will Lift Workers’ Wages

“A 2012 Treasury Department study, which the department recently removed from its website, found that less than a fifth of the corporate tax falls on workers” writes Jim Tankersley for nytimes.com. A Congressional Research Service report last month concluded that the effects of corporate taxes fell largely on high-income Americans, not average workers.Trump has insisted is not negotiable: the reduction in the top corporate income tax rate.Other researchers have expressed doubts that businesses would pass tax savings on to their workers in the form of pay increases.Hassett’s: that the so-called…

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Here’s how the White House wants the GOP to talk about tax reform

“Most of the papers cited by the White House estimate that workers bear at least half of the burden of the corporate tax rate through reduced wages” writes Ylan Mui for cnbc.com. The report from White House chief economist Kevin Hassett projects that the GOP goal of reducing the corporate tax rate from 35 to 20 percent will result in a windfall for workers.”And one of them … is corporate tax policy.”. At issue is the connection between changes in corporate tax rates and worker wages.The White House released its…

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Tax extension deadline: What you need to know

“If you miss the tax deadline, it is in your best interest to file as soon as possible thereafter to avoid major fines and penalties” reports foxbusiness.com. If you applied for an extension to file your taxes this year, the new deadline is rapidly approaching.If both penalties are due in the same month, the failure to file penalty is reduced to 0.5%. Source: foxbusiness.com Share This:

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Why Trump’s tax plan could encourage individuals to incorporate

“The Trump tax plan calls for three individual income tax brackets: 12 percent, 25 percent and 35 percent” reports foxbusiness.com. President Donald Trump’s newly unveiled tax reform plan has one major component: Businesses need to receive significant tax cuts.The proposal would reduce the corporate tax rate from 35 percent to 20 percent.They’re called pass-throughs because their income is passed through to their owners, who pay personal income tax on the money.It also would limit the tax rate on so-called pass-through businesses to 25 percent. Source: foxbusiness.com Share This:

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It would take a 50% hike in income tax to fund our current deficit

“But surely everybody knows by now that there is no lockbox with Social Security funds in it” writes John Mauldin for businessinsider.com. Aaah, the good old days… But the simple fact of the matter is that no Congress is going to fund Social Security and Medicare through tax hikes.Larry Kotlikoff wrote in an article on Forbes that we would need an immediate approximately 50% increase in taxes to fund our future deficits. Source: businessinsider.com Share This:

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Lawmakers ask Issaquah School Board to cut proposed property tax levy

“Three Washington state lawmakers this week wrote a letter asking the Issaquah School Board not to seek the maximum possible local property tax levy in the February elections” writes Joseph O Sullivan for seattletimes.com. While Issaquah homeowners will pay more in state property taxes, the school district will get an even larger amount back from the state, said Sen.The school board plans to seek the largest allowable local property tax increase in the operations levy going to voters in February — despite a hike in state property taxes for schools…

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