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From: joemu@nscpdc.UUCP
Newsgroups: net.taxes
Subject: Re: We're being screwed?
Message-ID: <584@nscpdc.UUCP>
Date: Mon, 7-Jul-86 14:33:41 EDT
Article-I.D.: nscpdc.584
Posted: Mon Jul  7 14:33:41 1986
Date-Received: Tue, 8-Jul-86 19:07:13 EDT
References: <183@inuxa.UUCP>
Distribution: na
Organization: NSC Portland Development Center, Portland Oregon
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> I read somewhere (maybe USA Today) that the new tax rates are
> proposed to start next July 1, but that the new rules on 
> allowable deductions (whatever they may be) would start
> January 1.  This sounds like they are trying to sneak in 6
> months of non "revenue neutral" tax reforms.
> Anyone else know anything or heard anything about this?
> 

This is TRUE! My latest edition of Money magazine confirms what you heard.
In fact a lot of people will actually pay MORE taxes under the "lower" rates.
(because you loose 6 months of deductions while at the old "higher" rate)
There was an example where a couple earning ~45k a year and currently paying
~32% taxes would pay ~34.5% under one proposal (house or senate) and pay
~36% under the other. It looks like a lot of us will really get screwed
the first year and the second year will be when the real benefit of the tax
reform will affect us (assuming they don't change it again next year). I can
give the exact figures from the article if someone needs them or just pick up
the magazine at the news stand.