Josh Barro calls the Trump standard deduction of $24,000 a lie. OK, lets talk about this lie Josh. As an example consider a married couple WITHOUT kids who earn a combined $90,000 annual salary.
The current standard of $12,700 would reduce the taxable income to $77,300. The proposed(and soon to pass) GOP tax bill would reduce the taxable income to $66,000.
However it get’s much better; that $66,000 would get taxed at 12% under Trump’s generous Xmas gift in the form of a income tax reduction!(The current under $90,00 bracket rate is 15%)
So what will the actual tax savings be in the event the tax reform passes?
15% of $77,300 is $11,595 compared to 12% of $66,000 is $7,920 which is more than a $3,500 savings. This is the kind of tax cut that can turn a TAX BILL into a TAX REFUND!
Finally note that this type of savings will also apply to couples/families who file jointly and earn much less than the example of $90,000. Remember, that $24,000 standard deduction applies to all couples/families!! Also I would expect the Business Insider “tax expert” to be more informed regarding his accusational headlines.