How Many Americans Know About the Low-/Middle-Income Tax Credits in the Trump Tax Cuts?

[mikegriffith1]

I wonder how many Americans know that the Tax Cuts and Jobs Act, signed into law by President Trump in December 2017, included the major tax credits for low-income and some middle-income Americans? The Tax Cuts and Jobs Act kept the American Opportunity Tax Credit (AOTC) intact, expanded the refundable portion of the Child Tax Credit (CTC), and increased the Earned Income Tax Credit (EOTC), all of which only benefit low-income and lower-middle-income workers.

The AOTC is 100% of the first $2,000 plus 25% of the next $2,000 in qualified tuition and related educational expenses for each eligible student in each of the first four years of the student’s post-secondary education. The maximum credit is therefore $2,500. 40%, up to $1,000 per student, of the AOTC is refundable.

The maximum CTC is now up to $2,000 per child, of which $1,400 is refundable, up from $1,000 in previous years.

The EITC is a fully refundable tax credit for low-income/lower-middle-income working individuals, particularly those with children. The amount of the EITC benefit depends on a person's income and number of children. To be eligible, both earned income and adjusted gross income have the following allowable maximum incomes:

$15,270 ($20,950 married filing jointly) with no qualifying children
$40,320 ($46,010 married filing jointly) with one qualifying child
$45,802 ($51,492 married filing jointly) with two qualifying children
$49,194 ($54,884 married filing jointly) with three or more qualifying children

The maximum amount of EITC that one can receive is now:

$519 with no qualifying children
$3,461 with one qualifying child
$5,716 with two qualifying children
$6,431 with three or more qualifying children

That means that if you are married and have two kids and earn less than the allowable maximum for a family with two kids ($51,492), your EITC benefit will now be $5,716, which equals an extra $476 per month.

Remember these facts the next time you hear some liberal claim that the Trump tax cuts are a "giveaway to the rich."

 

[caddo kid]

IMO federal tax should allow for NO deductions & NO credits.

Pay your damn tax; that's it.

 

[Harry Dresden]

IMO federal tax should allow for NO deductions & NO credits.

Pay your damn tax; that's it.

you are still paying your taxes even with some deductions....geezus you would be right at home with congress ....just tax the hell out of everyone....

 

[mikegriffith1]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

 

[BrokeLoser]

IMO federal tax should allow for NO deductions & NO credits.

Pay your damn tax; that's it.

You must be directing that to the 50% who don’t pay fed taxes and run their baby factories?

 

[JBvM]

I wonder how many Americans know that the Tax Cuts..

thank you bringing up tax cuts and issues most people don't know about:
July 11, 2018
Federal Tax Cuts in the Bush, Obama, and Trump Years

The impact of tax cuts on different income groups has changed over time. The graph below illustrates the distribution of tax cuts in effect in 2012, 2015 and 2018. In 2012, nearly all the Bush tax cuts, which provided benefits to all income groups but were very tilted toward high-income households, were in effect. But in the same year, several provisions enacted by President Obama were also in effect (expansions of the Earned Income Tax Credit and Child Tax Credit and a payroll tax holiday), which helped low- and middle-income working people. All income groups received tax cuts, but the Bush-era provisions ensured that the well-off gained more than anyone else. As illustrated by the graph, the richest fifth of households received tax cuts equal to 4.6 percent of their income, a larger percentage boost in after-tax income than any other group received.
Federal Tax Cuts in the Bush, Obama, and Trump Years​

l

When people refer to President Obama's tax cuts, they generally refer to the $858 billion tax cut deal signed in 2010. It extended the Bush tax cuts through 2012 and unemployment benefits through 2011. It cut payroll taxes by 2 percent, adding $120 million to workers' spendable income. It extended a college tuition tax credit. It also included $55 billion in industry-specific tax cuts.

To pay for part of these costs, Obama’s deal revived the inheritance tax that had lapsed for a year. It applied a 35 percent tax rate to estates worth over $5 million for individuals or over $10 million for families.

But Obama also cut taxes in 2009 and 2013. In 2009, $288 billion were cut as part of the American Recovery and Reinvestment Act. In 2013, Obama approved the permanent extension of the Bush tax cuts for those below a certain income level. This was part of the fiscal cliff package.

...

Obama Tax Cuts Compared to Trump Tax Cuts

On December 22, 2017, President Trump signed the Tax Cuts and Jobs Act. It cut individual income tax rates, doubled the standard deduction, and eliminated personal exemptions.

Trump's tax plan lowered the top individual tax rate to 37 percent. It cut the corporate tax rate to 21 percent. The corporate cuts are permanent, while the individual changes expire at the end of 2025.

The Act increases the deficit by $1 trillion over the next 10 years according to the Joint Committee on Taxation. It will increase growth by 0.7 percent annually, thus reducing some of the revenue loss from the $1.5 trillion in tax cuts.

The Trump tax cut occurred while the economy was solidly in the expansion phase of the business cycle. The 2010 Obama cuts occurred only two years after the financial crisis. Congress was concerned that ending the cuts would throw the economy back into recession. Both cuts increased the deficit and debt.
Why Did Obama Extend the Bush Tax Cuts in 2010?


​

It's always good to compare things using facts. Thank your for making this happen here

 

[mikegriffith1]

I wonder how many Americans know that the Tax Cuts..

thank you bringing up tax cuts and issues most people don't know about:
July 11, 2018
Federal Tax Cuts in the Bush, Obama, and Trump Years

The impact of tax cuts on different income groups has changed over time. The graph below illustrates the distribution of tax cuts in effect in 2012, 2015 and 2018. In 2012, nearly all the Bush tax cuts, which provided benefits to all income groups but were very tilted toward high-income households, were in effect. But in the same year, several provisions enacted by President Obama were also in effect (expansions of the Earned Income Tax Credit and Child Tax Credit and a payroll tax holiday), which helped low- and middle-income working people. All income groups received tax cuts, but the Bush-era provisions ensured that the well-off gained more than anyone else. As illustrated by the graph, the richest fifth of households received tax cuts equal to 4.6 percent of their income, a larger percentage boost in after-tax income than any other group received.
Federal Tax Cuts in the Bush, Obama, and Trump Years​

l

When people refer to President Obama's tax cuts, they generally refer to the $858 billion tax cut deal signed in 2010. It extended the Bush tax cuts through 2012 and unemployment benefits through 2011. It cut payroll taxes by 2 percent, adding $120 million to workers' spendable income. It extended a college tuition tax credit. It also included $55 billion in industry-specific tax cuts.

To pay for part of these costs, Obama’s deal revived the inheritance tax that had lapsed for a year. It applied a 35 percent tax rate to estates worth over $5 million for individuals or over $10 million for families.

But Obama also cut taxes in 2009 and 2013. In 2009, $288 billion were cut as part of the American Recovery and Reinvestment Act. In 2013, Obama approved the permanent extension of the Bush tax cuts for those below a certain income level. This was part of the fiscal cliff package.

...

Obama Tax Cuts Compared to Trump Tax Cuts

On December 22, 2017, President Trump signed the Tax Cuts and Jobs Act. It cut individual income tax rates, doubled the standard deduction, and eliminated personal exemptions.

Trump's tax plan lowered the top individual tax rate to 37 percent. It cut the corporate tax rate to 21 percent. The corporate cuts are permanent, while the individual changes expire at the end of 2025.

The Act increases the deficit by $1 trillion over the next 10 years according to the Joint Committee on Taxation. It will increase growth by 0.7 percent annually, thus reducing some of the revenue loss from the $1.5 trillion in tax cuts.

The Trump tax cut occurred while the economy was solidly in the expansion phase of the business cycle. The 2010 Obama cuts occurred only two years after the financial crisis. Congress was concerned that ending the cuts would throw the economy back into recession. Both cuts increased the deficit and debt.
Why Did Obama Extend the Bush Tax Cuts in 2010?
​

It's always good to compare things using facts. Thank your for making this happen here

Silly leftist nonsense. Tax cuts do not cause deficits. Government over-spending causes deficits. Federal revenue has gone UP after every major tax cut in the last 90 years. Federal revenue has gone UP since the Trump tax cuts took effect. Letting people keep more of their money and boosting economic growth do not cause deficits. If the government would spend within its means, there would be no deficit.

 

[debbiedowner]

I wonder how many Americans know that the Tax Cuts and Jobs Act, signed into law by President Trump in December 2017, included the major tax credits for low-income and some middle-income Americans? The Tax Cuts and Jobs Act kept the American Opportunity Tax Credit (AOTC) intact, expanded the refundable portion of the Child Tax Credit (CTC), and increased the Earned Income Tax Credit (EOTC), all of which only benefit low-income and lower-middle-income workers.

The AOTC is 100% of the first $2,000 plus 25% of the next $2,000 in qualified tuition and related educational expenses for each eligible student in each of the first four years of the student’s post-secondary education. The maximum credit is therefore $2,500. 40%, up to $1,000 per student, of the AOTC is refundable.

The maximum CTC is now up to $2,000 per child, of which $1,400 is refundable, up from $1,000 in previous years.

The EITC is a fully refundable tax credit for low-income/lower-middle-income working individuals, particularly those with children. The amount of the EITC benefit depends on a person's income and number of children. To be eligible, both earned income and adjusted gross income have the following allowable maximum incomes:

$15,270 ($20,950 married filing jointly) with no qualifying children
$40,320 ($46,010 married filing jointly) with one qualifying child
$45,802 ($51,492 married filing jointly) with two qualifying children
$49,194 ($54,884 married filing jointly) with three or more qualifying children

The maximum amount of EITC that one can receive is now:

$519 with no qualifying children
$3,461 with one qualifying child
$5,716 with two qualifying children
$6,431 with three or more qualifying children

That means that if you are married and have two kids and earn less than the allowable maximum for a family with two kids ($51,492), your EITC benefit will now be $5,716, which equals an extra $476 per month.

Remember these facts the next time you hear some liberal claim that the Trump tax cuts are a "giveaway to the rich."

I knew about it. You better go to the thread bush92 started about the libs taking his money because he did not get a tax refund and let him know that it was the repubs tax bill and they did it to him.

 

[Timmy]

I wonder how many Americans know that the Tax Cuts and Jobs Act, signed into law by President Trump in December 2017, included the major tax credits for low-income and some middle-income Americans? The Tax Cuts and Jobs Act kept the American Opportunity Tax Credit (AOTC) intact, expanded the refundable portion of the Child Tax Credit (CTC), and increased the Earned Income Tax Credit (EOTC), all of which only benefit low-income and lower-middle-income workers.

The AOTC is 100% of the first $2,000 plus 25% of the next $2,000 in qualified tuition and related educational expenses for each eligible student in each of the first four years of the student’s post-secondary education. The maximum credit is therefore $2,500. 40%, up to $1,000 per student, of the AOTC is refundable.

The maximum CTC is now up to $2,000 per child, of which $1,400 is refundable, up from $1,000 in previous years.

The EITC is a fully refundable tax credit for low-income/lower-middle-income working individuals, particularly those with children. The amount of the EITC benefit depends on a person's income and number of children. To be eligible, both earned income and adjusted gross income have the following allowable maximum incomes:

$15,270 ($20,950 married filing jointly) with no qualifying children
$40,320 ($46,010 married filing jointly) with one qualifying child
$45,802 ($51,492 married filing jointly) with two qualifying children
$49,194 ($54,884 married filing jointly) with three or more qualifying children

The maximum amount of EITC that one can receive is now:

$519 with no qualifying children
$3,461 with one qualifying child
$5,716 with two qualifying children
$6,431 with three or more qualifying children

That means that if you are married and have two kids and earn less than the allowable maximum for a family with two kids ($51,492), your EITC benefit will now be $5,716, which equals an extra $476 per month.

Remember these facts the next time you hear some liberal claim that the Trump tax cuts are a "giveaway to the rich."

Great . Now go over what the tax law did to high earners and big biz so we can compare just who made out .

 

[caddo kid]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

So, in affect, you are advocating for 'socialism'

ANYTHING the government subsidies is socialism; period.

Isn't that what the GOP, the right, the Trumpsters, the Tea Party, etc., they all bitch about?

Pay your damn tax and be done with it.

NO deductions, NO credits, NOTHING.

 

[Timmy]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

So, in affect, you are advocating for 'socialism'

ANYTHING the government subsidies is socialism; period.

Isn't that what the GOP, the right, the Trumpsters, the Tea Party, etc., they all bitch about?

Pay your damn tax and be done with it.

NO deductions, NO credits, NOTHING.

Cons don’t want to go down that rabbit hole because a lot of their base gets subsidized.

Farmers and coal miners come to mind .

 

[caddo kid]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

So, in affect, you are advocating for 'socialism'

ANYTHING the government subsidies is socialism; period.

Isn't that what the GOP, the right, the Trumpsters, the Tea Party, etc., they all bitch about?

Pay your damn tax and be done with it.

NO deductions, NO credits, NOTHING.

Cons don’t want to go down that rabbit whole because a lot of their base gets subsidized.

Farmers and coal minors come to mind .

AND they would ALL GET GRABBED by their financial pussies if they breached the subject.

Conservatives are such LYING PIECES OF SHIT ASS HOLES, especially when it comes to their shit hole MONEY.

 

[Timmy]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

So, in affect, you are advocating for 'socialism'

ANYTHING the government subsidies is socialism; period.

Isn't that what the GOP, the right, the Trumpsters, the Tea Party, etc., they all bitch about?

Pay your damn tax and be done with it.

NO deductions, NO credits, NOTHING.

Cons don’t want to go down that rabbit whole because a lot of their base gets subsidized.

Farmers and coal minors come to mind .

AND they would ALL GET GRABBED by their financial pussies if they breached the subject.

Conservatives are such LYING PIECES OF SHIT ASS HOLES, especially when it comes to their shit hole MONEY.

Military is a big gop base. Think of how many programs and subsidies they get.

He rural vote goes GOP. How many gov subsides do they get ? You think private companies are going to bring them internet access without gov subsidies ? Nope .

 

[caddo kid]

IMO federal tax should allow for NO deductions & NO credits. Pay your damn tax; that's it.

That's fantasy land material. The EITC is a much more effective way to help low-income folks than the minimum wage. It does not force employers to absorb the added cost and it avoids the job-killing aspect of minimum wage hikes.

So, in affect, you are advocating for 'socialism'

ANYTHING the government subsidies is socialism; period.

Isn't that what the GOP, the right, the Trumpsters, the Tea Party, etc., they all bitch about?

Pay your damn tax and be done with it.

NO deductions, NO credits, NOTHING.

Cons don’t want to go down that rabbit whole because a lot of their base gets subsidized.

Farmers and coal minors come to mind .

AND they would ALL GET GRABBED by their financial pussies if they breached the subject.

Conservatives are such LYING PIECES OF SHIT ASS HOLES, especially when it comes to their shit hole MONEY.

Military is a big gop base. Think of how many programs and subsidies they get.

He rural vote goes GOP. How many gov subsides do they get ? You think private companies are going to bring them internet access without gov subsidies ? Nope .

YOU wanna keep American socialism alive?

I don't.

Pay your damn taxes, STOP ALL of the free bullshit, and get on with streamlined, FREE government.

Vote Libertarian and STOP the FREE shit gravey train, for DemoRats & for RepubliCunts.

FUNNY How everyone wants their goddamn FREE shit, even if they identify as a DEM, or a REP.

WE COULD have stopped this shit DECADES ago.............

 

[mikegriffith1]

Great . Now go over what the tax law did to high earners and big biz so we can compare just who made out .

Sigh. . . . The Trump tax cuts gave the largest rate reductions to people in the second, third, and fourth tax brackets, while the fifth tax bracket got no rate cut and the sixth tax bracket--the one for the rich--got a rate cut of just 1 percentage point, much smaller than the rate cuts given to the second, third, and fourth brackets. If you doubt this, just Google the tax tables for 2017 and 2018. This info is there in black and white.

If you make $50K and you get a 10% tax cut and Joe Rich Guy makes $800K and gets a 3% tax cut, who has "made out" better? Who has gotten to keep a larger share of his income? Obviously, you have. But, if you are math ignorant and are hoping that your audience is math ignorant, you could use gross-dollar amounts to argue that the tax cut was unfair because Joe Rich Guy saved $24K while you saved only $5K. Similarly, the only way liberals can argue that the Trump tax cuts favored the rich is to use gross dollar amounts and ignore the rate reductions.

Furthermore, the rich have been the hardest hit by the Trump tax cuts' provision that caps state and local tax deductions at $10K. That will cost rich people a sizable chunk of money come tax-return time from now on.

As for businesses, all the Trump tax cuts did was lower the corporate income rate to the same level as the corporate tax rates in Europe and Asia, which range between 18% and 21%. The Trump tax cuts cut our corporate income tax rate down to 21% to make our companies more competitive with companies in Europe and Asia.

In addition, the Trump tax cuts ended the loophole that allowed American companies to avoid paying U.S. corporate income taxes on their operations overseas. One would think you guys would be thrilled about that provision. But it seems you folks are pathologically incapable of giving Trump credit for anything.

Finally, how can anyone rationally argue that the Trump tax cuts have increased the deficit when federal revenue has gone UP since the tax cuts went into effect? Deficits are caused when the government spends more money than it takes in. If the government would reduce spending to the level of revenue, like every family in America knows it needs to do, there would be no deficit.

 

[Timmy]

Great . Now go over what the tax law did to high earners and big biz so we can compare just who made out .

Sigh. . . . The Trump tax cuts gave the largest rate reductions to people in the second, third, and fourth tax brackets, while the fifth tax bracket got no rate cut and the sixth tax bracket--the one for the rich--got a rate cut of just 1 percentage point, much smaller than the rate cuts given to the second, third, and fourth brackets. If you doubt this, just Google the tax tables for 2017 and 2018. This info is there in black and white.

If you make $50K and you get a 10% tax cut and Joe Rich Guy makes $800K and gets a 3% tax cut, who has "made out" better? Who has gotten to keep a larger share of his income? Obviously, you have. But, if you are math ignorant and are hoping that your audience is math ignorant, you could use gross-dollar amounts to argue that the tax cut was unfair because Joe Rich Guy saved $24K while you saved only $5K. Similarly, the only way liberals can argue that the Trump tax cuts favored the rich is to use gross dollar amounts and ignore the rate reductions.

Furthermore, the rich have been the hardest hit by the Trump tax cuts' provision that caps state and local tax deductions at $10K. That will cost rich people a sizable chunk of money come tax-return time from now on.

As for businesses, all the Trump tax cuts did was lower the corporate income rate to the same level as the corporate tax rates in Europe and Asia, which range between 18% and 21%. The Trump tax cuts cut our corporate income tax rate down to 21% to make our companies more competitive with companies in Europe and Asia.

In addition, the Trump tax cuts ended the loophole that allowed American companies to avoid paying U.S. corporate income taxes on their operations overseas. One would think you guys would be thrilled about that provision. But it seems you folks are pathologically incapable of giving Trump credit for anything.

Finally, how can anyone rationally argue that the Trump tax cuts have increased the deficit when federal revenue has gone UP since the tax cuts went into effect? Deficits are caused when the government spends more money than it takes in. If the government would reduce spending to the level of revenue, like every family in America knows it needs to do, there would be no deficit.

Every year the fed revenue goes up . The question is what trumps taxes have done to that number .

Did the U.S. have a record tax haul after Trump tax cuts?

 

[mikegriffith1]

Ok, let us once again, yet again, lay out the simple facts about which tax brackets got the biggest rate cuts in the Trump tax cuts. They are, after all, a matter of readily available record.

1st tax bracket ($0 to $19,049): no rate cut, rate stayed at 10%, since everyone in this bracket already pays zero federal income taxes, but the EITC, which affects most people in this bracket, was substantially increased

2nd tax bracket ($19,050 to $77,399): received a rate cut of 3 percentage points, from 15% down to 12%, a reduction of 20%, and the EITC, which affects about half the people in this bracket, was substantially increased

3rd tax bracket ($77,400 to $164,999): received a rate cut of 3 percentage points, from 25% down to 22%, a reduction of 12%

4th tax bracket ($165,000 to $314,999): received a rate cut of 4 percentage points, from 28% down to 24%, a reduction of 14.3%

5th tax bracket ($315,000 to $399,999): received a rate cut of 1 percentage points, from 33% down to 32%, a reduction of 3%

6th tax bracket ($400,000 to $599,999): no rate cut, rate stayed at 35%

7th tax bracket ($600,000 and up): received a rate cut of 2.6 percentage points, from 39.6% down to 37%, a reduction of 6.5%

Plus, the Trump tax cuts' cap of $10K on the deduction for state and local taxes hits people in the top three brackets much harder than it hits any other group of taxpayers.

So, once and for all, liberals, stop peddling the lie that the Trump tax cuts "heavily favored" or "overwhelmingly favored" the rich. They did not. The biggest rate reductions by far went to taxpayers in the second, third, and fourth tax brackets.

 

[mikegriffith1]

Ok, let us once again, yet again, lay out the simple facts about which tax brackets got the biggest rate cuts in the Trump tax cuts. They are, after all, a matter of readily available record.

1st tax bracket ($0 to $19,049): no rate cut, rate stayed at 10%, since everyone in this bracket already pays zero federal income taxes, but the EITC, which affects most people in this bracket, was substantially increased

2nd tax bracket ($19,050 to $77,399): received a rate cut of 3 percentage points, from 15% down to 12%, a reduction of 20%, and the EITC, which affects about half the people in this bracket, was substantially increased

3rd tax bracket ($77,400 to $164,999): received a rate cut of 3 percentage points, from 25% down to 22%, a reduction of 12%

4th tax bracket ($165,000 to $314,999): received a rate cut of 4 percentage points, from 28% down to 24%, a reduction of 14.3%

5th tax bracket ($315,000 to $399,999): received a rate cut of 1 percentage points, from 33% down to 32%, a reduction of 3%

6th tax bracket ($400,000 to $599,999): no rate cut, rate stayed at 35%

7th tax bracket ($600,000 and up): received a rate cut of 2.6 percentage points, from 39.6% down to 37%, a reduction of 6.5%

Plus, the Trump tax cuts' cap of $10K on the deduction for state and local taxes hits people in the top three brackets much harder than it hits any other group of taxpayers.

So, once and for all, liberals, stop peddling the lie that the Trump tax cuts "heavily favored" or "overwhelmingly favored" the rich. They did not. The biggest rate reductions by far went to taxpayers in the second, third, and fourth tax brackets.

Oh, I see some liberals are floating the argument that "well, okay, federal revenue has gone up after the Trump tax cuts, but it might have gone up even more without the tax cuts." What happened to all the dire predictions that federal revenue would get cut dramatically by the tax cuts? Anyway, if we can increase federal revenue and let workers keep more of their paychecks at the same time, why not do it?

And it is worth repeating that every major tax cut for the last 100 years has been followed by *increases* in federal revenue.

The Facts About Tax Cuts, Revenue, and Growth

 

[Kondor3]

I wonder how many Americans know that the Tax Cuts and Jobs Act, signed into law by President Trump in December 2017, included the major tax credits for low-income and some middle-income Americans? The Tax Cuts and Jobs Act kept the American Opportunity Tax Credit (AOTC) intact, expanded the refundable portion of the Child Tax Credit (CTC), and increased the Earned Income Tax Credit (EOTC), all of which only benefit low-income and lower-middle-income workers.

The AOTC is 100% of the first $2,000 plus 25% of the next $2,000 in qualified tuition and related educational expenses for each eligible student in each of the first four years of the student’s post-secondary education. The maximum credit is therefore $2,500. 40%, up to $1,000 per student, of the AOTC is refundable.

The maximum CTC is now up to $2,000 per child, of which $1,400 is refundable, up from $1,000 in previous years.

The EITC is a fully refundable tax credit for low-income/lower-middle-income working individuals, particularly those with children. The amount of the EITC benefit depends on a person's income and number of children. To be eligible, both earned income and adjusted gross income have the following allowable maximum incomes:

$15,270 ($20,950 married filing jointly) with no qualifying children
$40,320 ($46,010 married filing jointly) with one qualifying child
$45,802 ($51,492 married filing jointly) with two qualifying children
$49,194 ($54,884 married filing jointly) with three or more qualifying children

The maximum amount of EITC that one can receive is now:

$519 with no qualifying children
$3,461 with one qualifying child
$5,716 with two qualifying children
$6,431 with three or more qualifying children

That means that if you are married and have two kids and earn less than the allowable maximum for a family with two kids ($51,492), your EITC benefit will now be $5,716, which equals an extra $476 per month.

Remember these facts the next time you hear some liberal claim that the Trump tax cuts are a "giveaway to the rich."

"What doth it profit a man to gain an increase of $476 in tax credits, only to lose his country to Robber Barons and Russian autocrats?"

--------------

Pacifying the Plebs while the Patricians rape the Treasury, are we?

 

[Harpy Eagle]

Ok, let us once again, yet again, lay out the simple facts about which tax brackets got the biggest rate cuts in the Trump tax cuts. They are, after all, a matter of readily available record.

1st tax bracket ($0 to $19,049): no rate cut, rate stayed at 10%, since everyone in this bracket already pays zero federal income taxes, but the EITC, which affects most people in this bracket, was substantially increased

2nd tax bracket ($19,050 to $77,399): received a rate cut of 3 percentage points, from 15% down to 12%, a reduction of 20%, and the EITC, which affects about half the people in this bracket, was substantially increased

3rd tax bracket ($77,400 to $164,999): received a rate cut of 3 percentage points, from 25% down to 22%, a reduction of 12%

4th tax bracket ($165,000 to $314,999): received a rate cut of 4 percentage points, from 28% down to 24%, a reduction of 14.3%

5th tax bracket ($315,000 to $399,999): received a rate cut of 1 percentage points, from 33% down to 32%, a reduction of 3%

6th tax bracket ($400,000 to $599,999): no rate cut, rate stayed at 35%

7th tax bracket ($600,000 and up): received a rate cut of 2.6 percentage points, from 39.6% down to 37%, a reduction of 6.5%

Plus, the Trump tax cuts' cap of $10K on the deduction for state and local taxes hits people in the top three brackets much harder than it hits any other group of taxpayers.

So, once and for all, liberals, stop peddling the lie that the Trump tax cuts "heavily favored" or "overwhelmingly favored" the rich. They did not. The biggest rate reductions by far went to taxpayers in the second, third, and fourth tax brackets.

Oh, I see some liberals are floating the argument that "well, okay, federal revenue has gone up after the Trump tax cuts, but it might have gone up even more without the tax cuts." What happened to all the dire predictions that federal revenue would get cut dramatically by the tax cuts? Anyway, if we can increase federal revenue and let workers keep more of their paychecks at the same time, why not do it?

And it is worth repeating that every major tax cut for the last 100 years has been followed by *increases* in federal revenue.

The Facts About Tax Cuts, Revenue, and Growth

Every major tax cut for the last 100 years has been followed by *increases* in federal revenue that was a slower increase than the 10 years prior to the tax cut. Thus showing that tax cuts slow revenue growth and should always be accompanied by spending cuts. But we do not elect fiscal conservatives so there is never any real spending cuts

For example, the 10 years prior to the Reagan tax cuts revenue grew at an average of 12.41% per year, the 10 years after it grew at a rate of 5.68% per year.

the 10 years prior to the first Bush II tax cuts revenue grew at an average of 6.61% per year, the 10 years after it grew at a rate of 1.87% per year.