Proposed tax cuts lower some, phase out some and keep some of the old taxes
The U.S. House bill has been released. The proposed Tax Cuts and Jobs Act would retain a 39.6% tax bracket for married couples with income of more than $1 million annually. The corporate tax rate would be cut from 35% to 20% and there would be a 25% “pass-through” business rate. The estate tax would be phased out over 6 years. The mortgage interest deduction would be limited for newly purchased homes and the property tax deduction would be retained but limited. The child tax credit would rise from $1,000 to $1,600. For complete tax cut details click here.