GOP Tax Bill: Who benefits and what does it mean? - WFMJ.com News weather sports for Youngstown-Warren Ohio

GOP Tax Bill: Who benefits and what does it mean?

Posted: Updated:
CANFIELD, Ohio -

House Republicans have passed the sweeping tax cut plan, but now Democrats say they'll need to vote again.

Democrats say three provisions in the $1.5 trillion tax bill violate Senate rules and will likely need to be removed. 

The bill was supposed to head to the Senate, but now the House will have to vote again once the bill is amended. 

It will be likely be reconsidered tomorrow.

If it passes the Senate, the President is expected to sign it.  It would be President Donald Trump's first major legislative win.

It would also be the first rewrite of the U.S. tax code in three decades.

But what does it all mean?

Mahoning Valley businessman Michael Naffah of Naffah Hospitality Group is the first to admit he doesn't know the details of the GOP tax bill.  He just hopes it's designed to help everyone, not just the rich, and that includes business owners like himself.

"I'm hoping it does.  I mean anything to stimulate business is going to stimulate the economy because it's also going to stimulate the jobs.  And that's what we need.  We need jobs," Naffah said.

David Dastoli, the President of Farmers Trust Company, believes 
businesses will benefit because of the corporate tax cut which is the crown jewel of the tax bill.

"We think that by putting money in the hands of business owners and corporations who are already starved for good employees in a tight labor market that's going to create wage inflation and push wages up," according to Dastoli.

But who else benefits?

"Pretty much everybody benefits.  Working class people.  People on the very low end of the income spectrum benefit.  In fact, the number of households that pay no federal income tax is going to go from 44% of the country to 47% of the country.  That's a lot to do with the increased standard exemption, standard exemption, standard deduction, and the increased child tax credit," Dastoli said.

Many who consider themselves part of the middle-class should save about $2,000 a year in federal income taxes because of the higher standard deduction and increased child tax credit.  

If the GOP tax bill passes and is signed by the President people should start seeing more money in their paycheck by mid-February.

But keep in mind it is not retroactive so it will not help your 2017 taxes.
 

Powered by Frankly
All content © Copyright 2000 - 2018 WFMJ. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms