Podcasts about local tax deduction

This week on Next Round, we talk with Michael Mische, Associate Professor of the Practice of Management and Organization at the University of Southern California, about his new study showing just how much more Californians will pay at the pump for gas when two of the state's major refineries shut down operations in the coming years. Plus, Tim and Matt discuss the debate over the State and Local Tax Deduction in Congress and legislation to make it easier and cheaper to build housing.

Plus: Ford is to let rival Nissan use part of its flagship U.S. battery plant, as electric vehicle demand slows. And a new report by the International Energy Agency finds China continues to dominate the global supply of critical minerals. Kate Bullivant hosts. Sign up for WSJ's free What's News newsletter.  Learn more about your ad choices. Visit megaphone.fm/adchoices

The dreaded downgrade. Biden's health in the spotlight. The big and beautiful Tax bill making its way through the sausage factory PLUS we are now on Spotify and Amazon Music/Podcasts! Click HERE for Show Notes and Links DHUnplugged is now streaming live - with listener chat. Click on link on the right sidebar. Love the Show? Then how about a Donation? Follow John C. Dvorak on Twitter Follow Andrew Horowitz on Twitter  Warm-Up - The dreaded downgrade - Biden's health in the spotlight - Tax bill making its way through the sausage factory - China continues to stimulate Markets - Yields - moving up after worrying signs for US debt levels - Stocks posting big gains for May - Bitcoin surges past $100k - Our debt load is untenable - great chart to consider The Big Beautiful Bill - The bill eliminates taxes on tips and overtime. - The bill achieves "no tax on social security" by increasing deductions for seniors on the program. - The bill eliminates several green energy spending programs and ends the EV tax credit early. - The bill makes auto loan interest tax deductible. - The bill raises the debt ceiling by $4 trillion. - The bill raises the State and Local Tax Deduction to $30,000 for people making $400K or less. - The bill makes changes to the IRS free tax filing program, pending review by a task force. - The bill includes tax on college endowments and private foundations. - The bill includes reforms for how pharmacy benefit managers do business with the government. - The bill creates a new savings account for children, and $1000 of funding will be provided. - The bill raises the child tax credit to $2500 from $2000. USD DEBT Moody's - U.S. Treasury yields spiked on Monday after Moody's downgraded the U.S.' credit rating, citing fiscal concerns. - That brings it down one notch from Aaa — the highest score — to Aa1 - The first time since the  initial rating back in 1919 that Moody's made a change - Interesting timing - in the middle of a big spending package process - --- maybe they are sending a message -"This is a major symbolic move as Moody's were the last of the major rating agencies to have the US at the top rating," Deutsche Bank analysts said in a note. Market reaction - Futures fell in late trade after the close of the markets- when it was announced - Bonds - long end moved. --- 30 yr treasuries up over 5% ---- 30 yer mortgage rates over 7% - Markets - yawned and turned on the open after a 1.5% love lower on the futures Bessent reaction -Treasury Secretary Scott Bessent said in an interview on NBC News' "Meet the Press" that Moody's Ratings were a "lagging indicator" after the group downgraded the U.S.' credit rating by a notch from the highest level. -"I think that Moody's is a lagging indicator," Bessent said Sunday. "I think that's what everyone thinks of credit agencies." - He asserted that the downgrade was related to the Biden administration's spending policies - Is that right? China - Stimulating - China cut its key lending rates by 10 basis points on Tuesday, as Beijing ramps up efforts to boost its economy at a time when trade tensions threaten to derail growth. - The People's Bank of China trimmed the 1-year loan prime rate to 3.0% from 3.1%, and the 5-year LPR to 3.5% from 3.6%. US Steel still in play - Nippon Steel plans to invest $14 billion in U.S. Steel's operations including up to $4 billion in a new steel mill if the Trump administration green lights its bid for the iconic U.S. company, according to a document and three people familiar with the matter. - Under details of the plan included in the document, the company will plow $11 billion into U.S. Steel's infrastructure through 2028. That includes $1 billion in a green field site, which is expected to grow by $3 billion over the following years and has not been previously reported. - There is  a deadline of May 21st for a national security review - then T...

- More Deals - So many deals! We are so Amazing with the Deals! - Investors turn hot on stocks - like nothing happened! - Apple making moves - so smart PLUS we are now on Spotify and Amazon Music/Podcasts! Click HERE for Show Notes and Links DHUnplugged is now streaming live - with listener chat. Click on link on the right sidebar. Love the Show? Then how about a Donation? Follow John C. Dvorak on Twitter Follow Andrew Horowitz on Twitter  Warm-Up - More Deals - We are so Amazing with the Deals! - Investors turn hot on stocks - like nothing happened! - Apple making moves - so smart - Microsoft layoffs - Important information on this if you are one of these Markets - HUGE move as tariffs paused for 90 days on China - Right on cue - most negative sentiment in decades then the squeeze - China - we have something - Maybe Phase 1.5? - Drug companies under pressure - Google update  - Lots of headwinds Announcing the Winner of the Micron (MU) CTP Reconciliation BILL - Draft - House Republicans release text of large reconciliation bill which includes extension of 2017 tax cuts for all income levels, spending cuts (Medicaid and green energy spending), energy reform, immigration reform, and a debt ceiling increase of $4 trillion - The bill eliminates taxes on tips and overtime. - It achieves "no tax on social security" by increasing deductions for seniors on the program. - The bill eliminates several green energy spending programs and ends the EV tax credit early. - The bill makes auto loan interest tax deductible. - The bill raises the debt ceiling by $4 trillion. - The bill raises the State and Local Tax Deduction to $30,000 for people making $400K or less. - The bill makes changes to the IRS free tax filing program, pending review by a task force. - Bill includes tax on college endowments and private foundations. AI Diffusion Rule Repeal - Wasn't the idea to stop chips from being sold to bad actors? - Good news for NVDA, Intel, AMD etc... - Is this good news? Reality Bites - A quick weekend meeting and all good - 90 day pause - The tariff rate on imported goods to the U.S. from China has been slashed from 145% to 30%, and the tariff rate on imported goods from the U.S. to China has been cut from 125% to 10% - The Art of the ???? ---- So confusing that it is hard to imagine that anyone really knows what is going on at this point. What Do We Do With this: - Commerce Secretary Howard Lutnick said Sunday that the 10% baseline tariff rate on imports from other countries is likely to "be in place for the foreseeable future," echoing President Donald Trump's comments from days prior. - They also said no change in tariffs not matter what China does, then maybe a reduction 80%  maybe - FAKE PROMISES, Fake News???? China Shipments - China's exports surged in April even as shipments to the U.S. plunged as businesses bore the brunt of prohibitive U.S. tariffs that kicked in last month. - Exports jumped 8.1% last month in U.S. dollar terms from a year earlier - Imports slumped by 0.2% in April from a year earlier (much less that expected) - China's outbound shipments to the U.S. plunged over 21% in April year on year, while imports dropped nearly 14%, official data showed. How Much? - In April 2025, the U.S. government collected approximately $16 billion in net customs duties. This was a significant increase from the previous year, driven by higher tariffs on Chinese goods and other imports - The budget results indicate that the U.S. collected just over $500 million a day from tariffs in April Income Received Inflation Update - Somehow, not moving (yet) - Total CPI was up 0.2% month-over-month (Briefing.com consensus 0.3%) following a 0.1% decline in March. On a year-over-year basis, total CPI was up 2.3%, versus 2.4% in March. That is the smallest 12-month increase since February 2021. - Core CPI, which excludes food and energy,

PREVIEW: TAX CUTS: DEBT: Conversation with colleague Veronique de Rugy of Mercatus Center re: the State and Local Tax deduction as spendthrift and worse. More tonight. 1939 Stock Exchange

The United States federal state and local tax (SALT) deduction is an itemized deduction that allows taxpayers to deduct certain taxes paid to state and local governments from their adjusted gross income. The Tax Cuts and Jobs Act of 2017 put a $10,000 cap on the SALT deduction for the years 2018–2025. The SALT deduction reduces the cost of state and local taxes to taxpayers. It disproportionately benefits wealthy and high-earning taxpayers in areas with high state and local taxes. The Tax Policy Center estimated in 2016 that fully eliminating the SALT deduction would increase federal revenue by nearly $1.3 trillion over 10 years. Definition. For United States Federal Income Tax purposes, state and local taxes are defined in section 170(a) of the Internal Revenue Code as taxes paid to states and localities in the forms of: (1) real property taxes; (2) personal property taxes; (3) income, war profits, and excess profits taxes; and (4) general sales taxes. The Tax Cuts and Jobs Act of 2017 capped the use of this itemized deduction at $10,000 ($5,000 for married persons who file separately). Effects. Tax savings from the SALT deduction flow disproportionately to those with high incomes. According to the Joint Committee on Taxation, in 2014 88% of the benefit of the SALT deduction accrued to those with incomes above $100,000 and only 1% accrued to those making less than $50,000. The SALT deduction primarily benefits those in high-tax states, which tend to be those with consistent Democratic legislative majorities. In 2016, the ten counties with the largest SALT deductions per filer (on average) were in New York, California, Connecticut and New Jersey. These ten counties are in the New York metropolitan area and San Francisco Bay Area, which have high concentrations of wealth and expensive real estate. Since the deduction was capped at $10,000 in 2017, many homeowners have been unable to deduct thousands of dollars that they previously could, beyond what they pay in property taxes, to state, county and local governments in these places. In 2017, only taxpayers in New York, Massachusetts, Connecticut, and New Jersey (the states with the first, second, third, and ninth highest GDP per capita) on average sent more than $1,000 each to the federal government above what the state received per capita. Capping the SALT deduction tends to increase this balance of payments deficit. Economic modeling by the economists Gilbert E. Metcalf and Martin Feldstein suggests that eliminating the SALT deduction would have "little if any impact on state and local spending". The economist Edward Gramlich has likewise concluded that eliminating the deduction would have little effect on state and local spending; he also finds that eliminating the deduction would likely not induce many high-income taxpayers to leave low-income communities. A use tax is a type of tax levied in the United States by numerous state governments. It is essentially the same as a sales tax but is applied not where a product or service was sold but where a merchant bought a product or service and then converted it for its own use, without having paid tax when it was initially purchased. Use taxes are functionally equivalent to sales taxes. They are typically levied upon the use, storage, enjoyment, or other consumption in the state of tangible personal property that has not been subjected to a sales tax. --- Send in a voice message: https://anchor.fm/law-school/message Support this podcast: https://anchor.fm/law-school/support

In this episode, FMBA Nation host, Bill Brower, talks with U.S. Congresswoman Mikie Sherril (NJ 11th District), about the SALT (State and Local Tax) Deduction Cap. They discuss how it affects NJ First Responders as well as middle class families in NJ.  

Patreon: https://www.patreon.com/thatsall The SALT Deduction, or State and Local Tax Deduction, allows people to write off their local taxes from their income in federal taxes. The SALT Deduction is currently capped at $10,000, so if you’re paying more than that in local taxes, you won’t be able to remove that from your reported income. More … Continue reading The SALT Cap Deduction Repeal, Explained →

Tax Notes contributing editor Marie Sapirie talks with American University tax professor Caroline Bruckner about the lack of consideration by Congress on how the U.S. tax code affects women-owned businesses and what can be done.For additional coverage, read Marie Sapirie's analysis in Tax Notes:A Seat at the Tax Hearing Table for Women-Owned BusinessesIn the segment In the Pages, Tax Notes Executive Editor for Commentary Jasper Smith chats with the 2020 winner of the Christopher E. Bergin Award of Excellence in Writing, Alex Zhang of Yale Law School, about his winning paper, “The State and Local Tax Deduction and Fiscal Federalism.”***CreditsHost: David D. StewartExecutive Producers: Jasper B. Smith, Faye McCrayShowrunner: Paige JonesAudio Engineers: Derek Squires, Jordan ParrishGuest Relations: Nicole White

State and local tax deductibility was capped in the 2018 federal tax law changes causing high tax states to look for ways to get around parts of the new law.  The IRS has now ruled against the state’s efforts to circumvent the cap causing some in congress to start pushing for a repeal of the SALT (state and local tax) cap. Cordasco Financial Network CPA Jim Tate joins me to discuss the dollars and cents of this and the unlikely position some politicians find themselves in by supporting the elimination of the SALT cap. Program Length: 22 minutes

It’s called the state and local tax deduction–or SALT–and it’s the subject of fierce political and legal controversy.    The Tax Cuts and Jobs Act, passed by Congress in 2017, placed a $10,000 limit on this deduction under the federal tax code.    What is the SALT deduction?   And why has putting a cap on it caused such a furor? Our guest this episode is Dr. Joyce Beebe.   She is a fellow in public finance at Rice University’s Baker Institute for Public Policy and an expert on taxation.  

2018 is over and now the effects of the new tax law are starting to be take hold. Clearly the upper middle class and working rich have taken a major hit, especially those in high-tax states. While there were some benefits spread around, the loss of the State and Local Tax Deduction has cost select groups billions. This is leading to an exodus from these states to lower tax ones. You need only reside in a low tax state slightly more than half the year to take advantage of lower rates. Many people are starting to figure this out. Expect the trend to accelerate in the coming years. 

2018 is over and now the effects of the new tax law are starting to be take hold. Clearly the upper middle class and working rich have taken a major hit, especially those in high-tax states. While there were some benefits spread around, the loss of the State and Local Tax Deduction has cost select groups billions. This is leading to an exodus from these states to lower tax ones. You need only reside in a low tax state slightly more than half the year to take advantage of lower rates. Many people are starting to figure this out. Expect the trend to accelerate in the coming years. 

Today we’re talking about several new tax laws to ensure that you're fully prepared for filing your taxes this year.   Yes, it's that time of year again when everybody is thinking about taxes. Most of us are going through our receipts, getting numbers together, making appointments, and doing all that we need to do to get our tax returns taken care of by April 15th. Unfortunately, this is one of those instances where if we tend to procrastinate, it really shows. Even though April seems a long way off, it will be here before we know it. So, how do we keep up with new tax laws, make sure that we file accordingly, and get the best return possible? Financial advisor, Cheri Blair, joins me to share some great tips and insight to help educate us on all that we need to know about big changes in the tax laws for 2018 so that we're fully prepared to properly file our taxes this year.   We Discuss: Saying the Right Thing When You Don’t Know What to Say Learning how to embrace change and the loss that inevitably comes with it Having the right mindset in order to have successful, supportive conversations What we can do right now to start preparing for this tax filing season A new tax law that has eliminated many beneficial deductions and tax credits How the standard deduction has changed and why itemizing may not make sense Why the elimination of personal exemptions could mean a significant loss for families A new cap on SALT (State and Local Tax) Deduction and how this impacts the middle class 12 now-extinct tax deductions that have disappeared this year under the new tax code   For the full show notes visit: www.ChangeItUpRadio.com

Make the New Tax Law Work For You In this episode, I break down most of the new provisions in the Tax Cuts and Jobs Act of 2017.  Recording from 1981 Lee Atwater explaining the context of “The Southern Strategy” that Reagan used to beat Jimmy Carter. Specifically, how you get the racist vote in a time when you can’t say overtly racist things. Gives the coded language example of “Cutting Taxes” as the dog whistle for racists, knowing that these and similar policies will hurt black people more than white people. This allows the Republican to court the racist voter without overtly claiming to be racist   Breaking Down the Tax Law for Individuals # of tax brackets didn’t change Rates temporarily drop for all but the lowest bracket Standard deduction doubled Families are less likely to benefit from itemizing No more Personal Exemption $4150 exemption for you and each dependent is gone Family with three or more kids will lose more than they gain in rate cut Child tax credit raised from $1000 to $2000 Only $1400 refundable Other $600 only applies to reduce your liability if you owe taxes Credit applies to incomes up to $400,000 Formerly only $110,000…benefit to upper-middle class Added $500 credit for non-child dependents College students, elderly parents, etc. Cap on State and Local Tax Deduction ($10,000) Will affect people in high-tax states most Mortgage Interest Deduction on new debt capped at $750,000 (was $1,000,000) No effect on existing mortgages Student Loan interest still deductible $2500 Medical Expenses over 7.5% of your Adjusted Gross Income is deductible Formerly had to surpass 10% Teachers can still deduct up to $250 in supplies expenses Electric Car tax credit still $7500 Only offered on first 200,000 cars sold by each manufacturer Running out of time for buying from GM, Nissan, Tesla No change in tax break for selling your home 529 Savings can be used for private school tuition Up to $10,000 Alimony tax deduction goes away Applies to separation and divorce paperwork filed after 31 December 2018 Disaster deduction now only applies if loss occurred in official National Disaster No moving expense, tax prep, bicycle commuter deductions Individual Mandate penalty reduced to $0 Effectively repealed Changes how inflation is gauged for tax purposes From CPI-U to Chain Weighted CPI-U Considered more accurate because it accounts for spending adjustments make in the face of higher prices Potential for Bracket Creep Key Provisions for Businesses Top marginal rate for C-Corporations permanently dropped from 35% to 21% Pass through companies taxes go by owners’ personal tax rates Law adds 20% deduction for pass through income Applies to all business owners with personal income below $157,500 ($315,000 Married Filing Jointly) Affects income tax but not self-employment tax Certain professional services with incomes over the threshold are excluded from receiving the 20% deduction Legal, Accounting, Health, and others These firms may consider tax structure changes to C-Corp depending on their financial realities Note: Check out BuyBlack Podcast Episode 004-C, to review the advantages & disadvantages of different legal & tax business structures https://buyblackpodcast.com/podcast/solo/choosing-legal-business-structure/ More Businesses qualify for cash-based accounting versus the GAAP standard of accrual-based accounting (up from $5M in gross receipts to $25M) This is less accurate for judging a business’ solvency, but simpler and more accurate at seeing how much cash a business has on hand today. The catch to all of this is that most of the personal tax cuts and provisions expire in 2025 while the corporate cuts are permanent.  This tax law gives us a small peek into how the game is played…if we’re paying close enough attention. GOP anticipating being able to ride the “low taxes” wave into a 2020 re-election for #45 This law keeps the low taxes through the presumed second term, then ends them in January 2025, just as the new president (who we can tell they are expecting to be a Democrat) takes office Then, as taxes skyrocket and the economy crashes they can blame it on the “failing” Democrat president. They will leverage that to try to pickup up some of the Congressional seats that they will inevitably lose over the coming seven years, and hope the story sticks long enough to win back the White House in 2028. We should always be looking at the long game and how moves made today setup the chess board for the future.  I guarantee you, that’s how the people in Washington put things together, so it’s in our best interest to look at their moves through their eyes.   How can you, I, we work this new law to our advantage Take advantage of the 529 Savings Plan for private school Start a small business as a side hustle Sole Proprietorship, Partnership, LLC, or S-Corp See BuyBlack Podcast Episode 004-D for tips to help you get started https://buyblackpodcast.com/podcast/solo/set-up-your-llc/ The BuyBlack Resource List has over 200 links to sites that can help you build and grow your business as well. https://buyblackpodcast.com/buy-black-business-resources/ Convert your profitable professional services company from a pass through to a C-Corp Check with your lawyer and accountant to see if this is best for your specific business and circumstances. Do not take my word…I am not a professional…this is not legal, financial, or tax advice   How “We” Beat this System Designed to “Hurt Blacks more than Whites” Recognize that this is all a game You can’t win a game that you don’t know is being played This is a huge part of “consciousness” Being aware of the levers, pulleys, and systems in motion all around you and learning how the gears work Once you recognize the game, you learn the rules and how it is intended to be played Figure out how to make those rules work in your favor, then dominate the board This is basically The Matrix That whole movie was essentially a lesson on unleashing the intense power that we each have when we wake up and become conscious of the power systems moving the world forward Right now, the rules are being rewritten to heavily favor the producer, the creator, the owner To benefit, you must define yourself as a producer. You must create value for the market. You must build and own things with appreciating value. It just so happens, that is exactly what this podcast exists to promote in our community We are currently America’s biggest consumers; its most loyal employees; its least successful entrepreneurs This is why using coded phrases like “tax cuts”, “tough on crime” and “reducing entitlements” can actually speak to racists AND accomplish what they want…to implement policies that disproportionately harm our community When we learn the rules to this game, then use the existing structure to move our community from net consumption to net production, none of those things will hurt us. In fact, they will help us more than the majority because of our smaller population This is how Davis slays Goliath. He is smaller, more agile, quicker to react, adjust, switch tactics, and use weapons of opportunity We must become a community of economic Davids Disclaimer: I am not a Tax Attorney (or any kind of Attorney) and I am not an Accountant.  This is not Tax Advice or Financial Advice.  It’s just information.  Please speak to one of the aforementioned experts before making ANY decisions based on the information you get from this episode. Resources: If you have a website of any kind, you want to hire Ratel SEO to help you get found.  https://ratelseo.com/ Don’t waste another day living on the fifth or sixth page of Google, Bing, or Yahoo.  Darrin is a real life SEO wizard and he will get you set and teach you so much along the way. If you’re ready to get your business started, listen to BuyBlack Podcast Episodes 004A-004D.  https://buyblackpodcast.com/podcast/004-three-things-need-start-business/ They’re relatively short and packed full of information to start you on the right track.  If you have questions, I’m always available to help. Email me at gerald@buyblackpodcast.com or you can call 501-703-0363 to connect with me by phone. Thanks for listening!

Ron Siegel discusses local and national current events, politics, personal and business finance with a few mortgage tips along the way. A Southern California mortgage expert and bonafide political junkie, Ron Siegel delivers intelligent, entertaining radio that makes the hard news of the week easy to understand!  Ron Siegel will discuss: Get All the Facts about PMI; 12 Ways to Keep a Big Move From Breaking Your Budget; Trump's Plan to Eliminate the State and Local Tax Deduction; Real Time Real Estate; Your Credit Matters; Mortgage Minute; Word on Wealth; and so much more. Ron Siegel, consumer advocate and mortgage lender, discusses anything that affects the roof over your head, your bank account or other items that will benefit you / your family. Reach Ron Siegel at  www.Facebook.com/RonSiegelRadio800.306.1990 Ron@RonSiegelRadio.comwww.RonSiegelRadio.comwww.SiegelLendingTeam.comFind Your Dream Home before Someone Else does: www.MBELinks.com/nest