THE NEW HOLISTIC RETIREMENT • 73 Married , Filing Jointly 29 Previous Tax Rate Current Tax Rate
Income
$80,000
25%
12%
$160,000
28%
22%
$250,000
33%
24%
So, if Congress recentl y vot ed t o low er tax es, w hy do I feel so confident tax es a re going up? Because those tax bracke t reductions are not permanent. In f act, they expir e in 2025 , which means, unless Congress passes new legislation, ma ny of us ar e going to rever t back to the o lder , h igher tax br acke t r ates in 2 026 . Now , b efore I ha d even hea rd of a viru s call ed COVID- 19, I f elt confid ent tax br acket rates would ris e in the futur e when the 2 017 tax c uts e xpire . Wh y ? Our government needs the money! The U.S. deficit may have ballooned because of the COVID stimulus bills, but it wasn’t in great shape before the pandemic, eit her. O ur count ry has b een on an unsustainabl e spending pat h for years, and fut ure tax es will have t o rise t o offset rapidly- gr owing deficits. Fro m my time in Washington, I also know that the political benef it of tax br acket reductions ar e exhausted by the Congress that passes them. Elected officials in the future ha ve less to gain by ex t ending the cut s. 29 Annual Tax Bracket Rates. Tax Foundation. https://taxfoundation.org/?s=annual+tax+brackets+rate
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