Tuesday, December 19, 2017 02:53 PM

TAX BILL: WHAT'S IN, WHAT'S OUT, WHAT HAPPENS

WASHINGTON (AP) -- So what's in the massive $1.5 trillion Republican tax package, what's not and what does it mean for most Americans?

The complex legislation, weeks in the making, scales back the popular deduction for state and local taxes, bad news for Americans in some of the wealthiest suburbs of New York, New Jersey and California. The bill preserves the deduction for medical expenses, rebuffing an effort by House Republicans to eliminate it.

The bill provides steep tax cuts for businesses and wealthy families, and more modest reductions for low- and middle-income families.

Here are things to know about the tax overhaul bill:

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BUSINESS CUTS ARE PERMANENT, NOT SO FOR INDIVIDUALS AND FAMILIES

The legislation permanently slashes the tax rate for corporations from 35 percent to 21 percent. But the tax cuts for individuals and families are temporary, expiring in 2026.

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THE DEFICIT WILL GROW

Despite Republican talk of fiscal discipline, the legislation is projected to add $1.46 trillion to the nation's $20 trillion debt over a decade. GOP lawmakers say they'd expect a future Congress to continue the tax cuts so they won't expire. If ...

News source: Associated Press

See also: Trauger