Despite the so-called 'fiscal cliff' deal reached in Washington, 3 out of 4 taxpayers will pay more in taxes this year.
Sunday, January 6
Despite the House and Senate reaching a deal on the so-called "fiscal cliff," 77 percent of Americans will pay more in taxes in 2013. That's because even though just 1 percent of households will pay higher income taxes, an increase in federal payroll taxes will hit nearly every wage earner, according to an analysis by the Tax Policy Center. Individuals earning between $40,000 and $50,000 a year face an average tax increase of $579 in 2013, according to the Tax Policy Center's analysis. The average U.S. worker would pay $679 more in taxes this year under the fiscal cliff deal passed by the Senate early Tuesday morning, while the average member of the top 1 percent of earners would pay $73,633 more, according to Tax Policy Center analysis…
President, Congress have just a few days to avert automatic tax increases and spending cuts. Rhode Island's reps are urging their Republican colleagues to get back to work.
Friday, December 28, 2012
Congress and President Obama are racing against the clock this week as they make a final attempt to hammer out a deal to avoid the so-called “fiscal cliff” the U.S. government is set to go over on New Year’s Day. Without a compromise deal to lower the deficit, the government will face a self-imposed deadline that triggers both spending cuts and higher taxes. Congress itself set the Jan. 1 deadline after failing to come to a budget compromise earlier this year. On Jan. 1, the George W. Bush-era tax cuts will expire, raising taxes on nearly all Americans. In addition, $1.2 trillion in spending cuts to defense and government programs will go into effect. The week before Christmas, it looked like a deal was possible, as President Obama and …