
Sorry, I wasn't super clear on this: I don't have any problems with either the tax increase (other than that it's small) or the cuts to social services. As far as your position--that DC should take care of everyone in the region who shows a need, regardless of whether MD or VA do--I disagree. We're doing quite a bit, certainly a hell of a lot more than any other jurisdiction. If we try to do more, we'll only do it worse. And bankrupt ourselves in the process. |
Well, that's not really my position. I never said that we should take care of everyone or try to do more. I just think we need to try to maintain what we have. It's undeniable that Gray's cuts are disproportionately aimed at the poor. Yet, almost all the the complaining will come from those who might have to pay an extra $200 or so in taxes. |
Not even sure if that's the case. Do you really think there are a lot of DC households making more than $200k who are going to complain about $200 per year. My guess is that most of the complaining you hear comes from teabagger types living in the exurbs, who like to complain on principle. Though I definitely agree that the poor have more of a reason to complain. I have mixed feelings on this issue--I think we should do more *nationally* to construct a comprehensive safety net, but I think a lot of what we do at the District level is counterproductive. Anyway, thanks for the sounding board. |
I am crazy...........If you make 200k, 0.4% = .004, $200,000 x .004 = $200??
maybe $800 or $1000 for 250k ... |
Google "marginal tax rates" and you will regain your sanity. The tax increase would only be applied to the 200,001st dollar and up. The first $200,000 would be taxed at lower rates. |
Good news. To you, this will look like a tax decrease. Apparently you have been overpaying for years. The first $4200 you make, you pay $0. Anything between $4200 and $10000, you pay an 4% on the additional amount over $4200 Anything between $10000 and $40000, you pay 6% on the additional amount over 10,000 Anything over $40,000 you pay 8.5% on the additional amount over 40,000 The proposal is that anything additional over $200,000 is taxed at 8.9% A taxpayer who had taxable income of 40,000 (after deductions) doesn't pay 6%. They pay 5.1% A taxpayer who had taxable income of $60,000 doesn't pay 8.5%. They pay 6.2% So if you had taxable income of $250,000 (after your deductions), then in the old system you paid $19,882 in taxes. That's an overall rate of 7.95% In the new system, you paid $20,082. That's an overall rate of 8.03% $200 more. |
I think "I am crazy" is an example of a large percentage of people who believe that the minute they get into that higher tax bracket their overall tax rate makes a quantum jump upward. I would bet that most of them (probably including "crazy") are quite aware how taxes work, yet still have that same gut reaction when they don't force themselves to stop and think it through -- our thought processes are complex, and we don't always connect the dots. |
And it might be worth adding that if your taxable income was 250K, you probably grossed something like 315K, so in terms of total income, your overall rate would be under 6.4%. We all owe Jeff our gratitude for starting this wonderful website that has cut your tax rate from 8.9% down to 6.4%, a decrease of over 28%!!!! |
We make over $200K HHI, and in all honestly we probably spend more than $200/year at Starbucks. It's a very, very small sacrifice for us, and I'd imagine most other families that that HHI.
I'm wondering why taxes aren't going up for those who earn more than $300K, $400K, $500K and up. Also, instead of taxing real estate transactions, DC would probably do better to increase property taxes. |
It's the "common sense" brigade. You don't have to know anything as long as your gut is telling you what to do. Also known as the modern GOP's base. |
It may be a small sacrifice to you but it is a forced sacrifice. Thatt is the famous liberal line, it's just a small sacrifice. Well if that is what you want to do with your money go ahead, why force others to do it as well? D.C. takes a lot of money from its residents and gives very little in return and now they even want more. |
Yes, and the GOP line is that any tax increase is the same. Senator X voted 91 times to increase taxes! Yes, but if he voted for bigger offsetting tax decreases, you can be sure the Republican attack ads won't mention that part. You could be living in a state with no income taxes if you wanted to. You live in the district by choice. Let's see whether it is in your economic interest to move over that $200. |