GRAND SLAM! What's the over and under on how many days it will take for Kamala to adopt this policy as her own? Who knows. But it's a damn good proposal from President Trump!
Big handout to cops. If this happens (it wont) it will be fun when people try to call all work overtime, or perhaps more likely, overtime is even harder for anyone to get except cops.
I see this is a thread where Republicans again don't care about the deficit. Tune in next thread, where they care again.
"Simplify the tax code!" but also "now you have to document overtime work vs. other income in your now more complicated tax return"
Cool ... I'm going to cut my pay in half and then pay myself for 80 hours ... Seriously, how does he plan to stop the abuse?
Right. There's no requirement that OT has to be after 40 hours. I'll bribe an employee to come in on a weekend by offering OT even if they haven't hit 40 for the week. I can drop them to $13 an hour and let it all be tax free OT.
I didn't think overtime was taxed any different than regular pay but it can push you into a higher bracket. Not sure if that applies per pay period and not yearly gross which would be a penalty for working more. Also, a quick search found this for California.
Yes, more income can put you into a higher tax bracket, that's how tax brackets work. The additional tax rate you pay is only on the additional income that put you over.
Not sure the reason for the snark. I mentioned it because there is a misconception that OT is taxed more. Also, there is a difference for someone that doesn't get pushed into a higher tax bracket for yearly income but does per a pay period and if so does it get corrected at years end, if it works that way which I admitted I don't know to be true but carry on being a tool
Yep just more unintended consequences to follow. Now if a candidate offered to eliminate income taxes altogether and shift taxes to consumption, I’d be listening.
Would that not disproportionately impact lower income wage earners, since they pay virtually no income tax at the end of the year as it is? Often seeing any withholdings refunded.
I am thinking that OT income would have to be exempted from taxation when you file taxes. It would probably have its own box on your W2, separating it as non-taxable income. OT income would not add to your adjusted gross income. The same would apply on the paycheck. The employer would status it differently on the paystub and exempt that portion of income from taxes.
Yes it could, but if we like the current income tax brackets, we could just mirror it with the consumption tax brackets. Then people could only increase their taxes by spending more.
Meaningless, empty pandering. Everyone knows that UE numbers are all smoke and mirrors and that hourly workers are having to string 2, 3, and 4 part-time jobs together just to make ends meet. Overtime? Ha.
It depends. If a country is flooding ours with cheap [insert product name], a tariff could require that country to take a loss on their product to keep prices the same in the U.S. Otherwise, said cheap product isn't so cheap any longer and Americans will opt for other brands, thus reducing sales and costing the exporter more in the long run. That's why tariffs aren't a blanket tax on the consumer. If the consumer can pay a wee bit more for a better product that is not from (you know who), there's no real inflation and any pressure would be mitigated by receding demand. That's the beauty of capitalism. We have other choices... but let's try to stay on topic.
