Can Obama Make Everyone Poorer Next Year? Yes, He Can

Money tight this year? Well, thanks to Obama and the 2011 tax increases, it is going to get a whole lot tighter next year for everyone.

You may be saying to me, "Obama told us that he would not raise our taxes. He said he is only going to raise taxes on the rich."

Yes he did, didn't he. I wonder if he told the truth?

• Individual income tax rates go from 10%, 15%, 25%, 28%, 33%, and 35% to 15%, 28%, 31%, 36%, and 39.6%.

Look at your payroll check stub. Find how much the government is taking out of your check each time. Lets just pull a number out of the air. Does the government take 82.50 or 150.00 a week from your check for taxes? Lucky you. That means next year the government will take 158.00 or 280.00 from your check every week. That's okay with you, isn't it? You don't' need that extra money every week, do you?

That's not all.

Many of your deductions from the previous years will not be deductions you can take in 2011. Fun for all.

"Itemized deductions and personal exemptions will again phase out, which has the same mathematical effect as higher marginal tax rates." Six Months to Go Until
The Largest Tax Hikes in History
From Ryan Ellis

• " Higher taxes on marriage and family. The "marriage penalty" (narrower tax brackets for married couples) will return from the first dollar of income. The child tax credit will be cut in half from $1000 to $500 per child. The standard deduction will no longer be doubled for married couples relative to the single level. The dependent care and adoption tax credits will be cut."
The Largest Tax Hikes in History
From Ryan Ellis

Isn't it nice that the government isn't leaving anyone out of crippling tax increase?

In my daily work, I deal with people who look forward to the big tax returns they get in January or February due to the child credit. I also work with people who are very glad for the child credit because it keeps them from paying so very much to the government. Disappoint is on the horizon for many. Put it real numbers. Last year due to your three children, you got a child credit of 3000.00. Not this year. You will now get a tax credit of 1500.00.

Just get your tax forms from 2010 out and look at the standard deductions you took this year. Cut them in half, because that is what is happening to us next year. Now go and look again at how much you paid extra. You get to pay more next year. You may be one of the lucky people that actually got money back last year. If you get any money back this coming year, it will be a whole lot less. How's that going to affect your family?

Speaking of children, do any of you have children in college? Are you yourself going to college? Remember the tax credits you were given for those things? Kiss them goodbye! Deductions for tuition and fees are gone.

" Tax credits for education will be limited... Employer-provided educational assistance is curtailed. The student loan interest deduction will be disallowed for hundreds of thousands of families."

Prepare for 2011 tax increases.

Now how many of you still believe the "I'm only going to raise taxes on the rich" lie from Obama? Are you rich? He is most certainly raising your taxes, isn't he?

• Capital gains tax rates would revert back to 10% and 20% (depending on AGI), while they are currently at 5% and 15%.

Capital gains? Isn't that the tax that affects those mean nasty wicked rich people only? The capital gains tax doesn't affect us normal pure poor folk, does it?

Depends. Do you plan to die? When you die to you plan to leave a small amount of money to your children? Do you have a house you would like to leave to your children? Maybe you are now in the time of your life where you would like to sell the home your children grew up in and buy a smaller place? Then the capital gains tax hits you. Frankly the capital gains tax hits you much harder than it does any rich person. An extra five or ten thousand to the government is a bigger hit to the average person. I know the government and liberal media has told you that capital gains tax affects only rich people and not you, but liberals lie. It is high time you figured that out.

• After being fully phased out for tax year 2010, the estate tax would be fully reinstated with a top rate of 60 percent and a $1 million exemption.

Before you say to yourself, "This doesn't affect me and mine," go back and read the paragraph above again. Have you scraped together 10,000.00 that you plan to leave to your one and only child when die? Good for you. That child will get a grand total of 4000.00 of that 10,000.00 after the government takes the 6000.00 of the money you saved. Remember, you have already paid taxes on that 10,000.00 once.

Get rid of the silly idea that tax increases only affect the rich. They do not. Tax increases do not hurt the poor. The poor do not pay taxes. Tax increases hit you and me, the average working Joe.

• Dividends would once again be taxed at the ordinary income rates (see above), while today they are currently at 5% and 15%.

This will not affect the average person. This only affects those evil rich people. Right? Well, only if you don't have a retirement plan. Then it affects you. You. Mr. And Ms. Go to Work Everyday to Make Ends Meet.

There is another problem that we all need to look at. Mr. And Ms. Go to Work Everyday to Make Ends Meet is going to have a much more difficult time doing just that starting next year.

Obama new taxes and Obama care and it's taxes will make it so very difficult for a small business to actually MAKE money that there be jobs cuts.

Small business taxes will be raised on everything Right now a small business can buy the necessary equipment to grow and hire more people and still get a tax credit for the new equipment up to 250,000. That is dropping to 25.000. Do see many small businesses expanding under that kind of tax load?

In fact the new taxes for next year hit all business. There are over twenty big tax increases on businesses of all sizes. When the government increases the amount of money they take from a business, the business makes less money. There is only one way to make up that loss. It is to decrease workers. Keep in mind most jobs come from small businesses. How many new jobs do you see being created in the coming years?

Actually a better question is how many new layoffs do you see coming in the coming years due to these kinds of tax increases? Small business are not hire now because the business owners know this coming.

Remember, Obama promised that he would not rasie taxes on those who are not rich. Do you still believe that lie?

Prepare for 2011 tax increases.

Six Months to Go Until The Largest Tax Hikes in History From Ryan Ellis

Lots of Tax Hikes Coming in 2011 By Joan Pryde, Senior Tax Editor, the Kiplinger letters