Proposed Tax Plan from President-Elect Trump- Tax brackets reduced to three: 12%, 25% and 33%.
- Elimination of:
- Alternative Minimum Tax
- Head of Household filing status
- Net Investment Income Tax
- Personal Exemptions
- Estate Tax
- Business tax rate lowered to 15%.
- Cap on itemized deductions at $100,000 for single filers and $200,000 for married filing joint.
- Standard deduction $15,000 for single filers and $30,000 for married filing joint.
- Low-income families get a credit up to $1,200 a year for child-care costs.
- Close the "carried interest" exemption. Essentially, it allows big money managers to count earnings as capital gains instead of ordinary income.
- Carried interest would be taxed at ordinary tax rates instead of capital gains rates.
