Less than half of European countries automatically adjust income tax brackets for inflation every year. Compare income tax inflation adjustments in Europe.
threatened to derail it. some include no reduction in the number of personal income tax brackets. there will still be seven. taxes will be lower for many in those brackets. the biggest cut is for corporations where the tax rate drops to 21%. individuals will be able to deduct up to $10,000. and the exemption for the estate tax will be doubled. a short time ago the president explains why he thinks this will be good for the middle class. this will be great for jobs. it will be fantastic tofor the middle inni middle in come people. if you look at the whole thing, everybody s going to benefit. but i think the greatest benefit is going to be for jobs and for the middle class. middle income. cnn s boris sanchez is in washington at the white house.
holdouts threaten to derail it. house speaker paul ryan saying the vote could come as early as tuesday. here are some of the key details. despite a pledge to reduce the number of personal income tax brackets, this bill keeps all seven. taxes will be lower for many in those brackets. the biggest cut is being saved for corporations where the tax rate drops to 21% from its current 35%. also in the bill is a $2,000 child tax credit. that s important because it apparently was key in moving u.s. senator rubio s vote from a no to a yes. individuals will also be able to deduct up to $10,000 in state and local taxes. and the exemption for the estate tax would be doubled. republican senators got their way and the obamacare individual mandate will be eliminated. i want to bring in congressional reporter lauren fox, in washington, lauren, good to see you again. it was just six weeks ago that lawmakers got a look at this first draft. there was a lot of horse trading
example, overnight by saying, we re not going to cut taxes for the ultra wealthy. we re not poupg to collapse into three personal income tax brackets and keep the top bracket of 36.9%. which no one pays, by the way. right. this also this idea that we need tax reform right now, i mean, you know, one day the president is tweeting how fantastic the economy is, the unemployment rate, gdp, and the next day it s like, we need the tax reform bill to inject life into this economy that is on life support. it doesn t seem to add up. that s why i think voters don t feel the urgency that the lawmakers and the president do. you have interest rates that are reasonable rates, you have unemployment down, stock market booming. companies sitting on record profits. exactly. and there s no guarantee they will return that to the worker if they get stimulation from this tax deal. so they really need to deliver. and so far, it just seems from
we could. the problem is, there s crucial details we don t know and probably won t know for months because congress has to get their hands on it. details which could have a big impact on your money. under the proposal, the number of personal income tax brackets drops from seven to three. we don t+++ individuals and $24,000 for families. it increases the amount of income that is tax-free. the white house and republican leaders are also calling for an increased child tax credit. in addition, they say they want to open it up to families with higher incomes. a new tax credit to help pay for the care of elderly and sick dependents. no more estate or death tax at all, which is a win for wealthier individuals that inherit businesses and real estate. the plan would be a big win for business owners. it cuts the corporate tax rate