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Government: Tax Cut Extension
Feb 9, 2012 | News Archive
What The Tax Cut Extension Means For your economyIn recent legislation, President Obama extended tax cuts in a Rose Garden press conference. Good new, the average American will pay about $2,000 less in taxes per year for the next two years. This includes a temporary "holiday" on the payroll tax.  New tax changes will result in lost revenue to the government, between $450 and $600 billon in 2011. This impact on households allows familities to write off up to $2,500 per student for a return on tuition credit. About 22 million families will be exempt from the dreaded Alternative Minimum tax next year. Obama's goal was to limit the extension of the Bush tax rates to households making less than $250,000, while Republican lawmakers pushed for a permanent extension for all taxpayers, including those making above $500,000 per year. The bill will also add $900 billion to the nearly $14 trillion accumalated national debt- money that future generations will be responsible for paying back.

For more info: http://abcnews.go.com/Business/Politics/paycheck-obama-tax-cut-extension-means/story?id=12423601

 

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